Watch These S&P 500 Levels After Index Hits 6,000 Points For First Time Since February

S&P 500 (SPX) first crossed the 6,000 -point mark last week since February, expanding a rally for shares fuel fuel by optimism about strong corporate income and economic data, as investors were waiting for more development on the trade front.

The benchmark index has ralled its initial April rally to trade in the mid -February record high from just 2.4% than just 2.4%. Last month, S&P 500 posted its largest monthly benefit since November 2023, as concerns about the “Liberation Day” tariff of Trump administration have decreased.

Below, we closely look at the chart of S&P 500 and apply technical analysis to identify the major levels that investors will probably be looking at.

Penant Pattern Breakout

After climbing above a descending wide formation, the S&P 500 occurred rapidly before consolidating within a penant.

Recently, the index broke from the pattern last week, indicating the continuity of its recent steps. Meanwhile, the relative power index confirms the speed of rapid speed, but its overbot remains below the threshold, providing enough room to reversed further.

Identify two major overhead areas on the IS&P500 chart and also find out the major support levels for viewing during possible retracement.

Major overhead area worth tracking

The first key overhead area to track seats around 6,100. This area can provide resistance near a trendline that adds a series to the peaks formed on the charts between December and February below the record high of the index.

Investors can project an inverted target above the record high using bar pattern tools. When implementing the analysis on the chart of S&P500, we remove the higher move after a breakout from the descending wide formation and replace it with a breakout point of the penant. This is a target of about 6,575 above 10% above Friday.

Major support levels for viewing

During the return, investors should initially view 5,770 levels. The index may get support near the lower part of the penant pattern in the region, which closely aligns closely with a series of 200-day moving averages (MA) and the same trading activity on the charts spread back in September last year.

Finally, a close S&P 500 revisit below this level can see the low support around 5,650. Those who invest in the index can buy opportunities near the upward 50-day MA and a horizontal line in the region that connects a series of value action on the charts between July and May.

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