SP500 in focus: Fibonacci fan shows next target level - trading expert advises speculative short position

SP500 in focus: Fibonacci fan shows next target level - trading expert advises speculative short position

According to a report by www.finanzen.net,

The SP500 continues to rise in premarket trading this Wednesday and is currently higher at 4,580 points after the SP500 had trended sideways in the area of ​​4,560 points in the previous days. The upper Fibonacci fan in the weekly chart is in the area of ​​4,600 points, the next possible starting point.

The previous analysis suggested that the SP500 is overbought and has not yet made a real correction. It was predicted that SP500 could either break through the upper Fibonacci Fan, generating a strength signal, or bounce down in the Fibonacci Fan area and face a retrace. A short position in the Fibonacci fan area has been mentioned as a possibility.

After analyzing the current situation, a speculative short position on the SP500 in the area of ​​4,580 points could be considered. A speculative short position with a Best Unlimited Turbo (SF80M3) from Société Générale is suggested as an option, with a price target in the range of 4,400 points. The stop could be placed at 4,610 points.

Possible effects of this development could be a change in market dynamics and increased volatility in the SP500 index. Consumers and investors should be aware that these changes can lead to opportunities but also increased risks. It is advisable to monitor developments closely and, if necessary, seek professional advice before making any trading decisions.