In May 2015, after finding the resistance near 2130 area, S&P500 corrected down sharply with an increased volatility. Currently, it seems that it was just a correctional move where the long-term uptrend is still taking place.
Since August, the Index has still been recovering from the correction. While doing that, it broke above the upper trendline of the ascending channel signaling about the validity of the downtrend. The following move down was halted at 38.2% and then at 50% Fibonacci retracement levels.
The support was rejected and the ascending channel was broken. Therefore, consider buying S&P500 Index while price is near 38.2% Fibs (2022), targeting the major resistance area, which is 2120-2130. The stop loss could be placed just below the S2 (1964), that is 61.8% Fibs.
Support: 1993, 1964
Resistance: 2022, 2058, 2116, 2125, 2137
