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Despite the S&P 500 futures tumbled last Friday after Israel’s airstrikes on Iran, there was no follow-through to the downside subsequently.
The supply has been increasing while the S&P 500 is testing the 6000 psychological level as a support.
The S&P 500 has the right to pullback to test the minor support zone 5860-5900 without damaging the momentum to rally to the previous all-time high level near 6150.
A short-term consolidation mode is more likely until there are more outperforming sectors show up.
Check out this week’s trade ideas.