FX.co ★ Trading plan for SPX500 for August 31, 2020

Technical outlook:

SPX500 managed to break through the resistance level of 3.400 and climb above 3,500. The index finished trading around 3.508 on Friday. Futures are trading higher around 3.511 at this point in writing. The SPX500 index rallied through new highs while the Dow Jones remained below its 29,600 high. A bearish divergence and potential trend reversal could be seen sooner than expected. Immediate resistance might be seen at 3,530, while support is around 3.350 level, respectively. A break below 3,350 would confirm that the index may test new high and bears are back in control.

Trading plan:

Remain short, stop 3650, target is open.

Good luck!