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S&P 500: Ready For A Melt Up (Technical Analysis)
Seeking Alpha • • general
Key Points:
- The S&P 500 rebounded from last week's sharp decline, closing nearly flat due to technical support at key levels, indicating potential stability in the market.
- A decisive break above the 7710 resistance level could signal a new uptrend, with targets set at the all-time high of 7816 and possibly 8010.
- Historical parallels with strong rallies in 2026 suggest the possibility of a significant "melt-up" rally, despite unfavorable seasonality and macroeconomic conditions.
- The Federal Reserve's hawkish stance and robust economic forecasts have shifted market focus towards oil prices and bond yields as key future catalysts.
- Despite recent volatility triggered by AI concerns and Fed rate hikes, the S&P 500 demonstrated resilience by recovering losses without any change in underlying news.
