The S&P 500 index presents some interesting movements now. On the daily graph at the end of January there was a bullish divergence formed (the red lines on the graph below) that drove the value of the index to its current level. Now the index continues to climb. Still a break above its previous resistance level around 1150 (the horizontal blue line) doesn't seem very likely. There is a chance that we have a day or more of climbing but a bearish divergence starts to be appearing.
Apart from the possible bearish divergence the weekly graph shows that Stochastic has some more time to go north so this also supports the view that we might see some higher levels ahead. The other indicators keep the warning sign on and limit a possible upward movement as it can be seen on the graph below.The monthly graph is the most interesting one today. What can be seen there is the nowadays situation looks very much like the one the index experienced in 2003. Even the indicators have quite similar form.
There's pretty much a chance for the things to repeat. That would mean a hard year filled with ups and downs with a breakage on the upside at the end. Although for the whole year we might see a retreat to at least 1068/60 where are the EMA30 and EMA9. Next level are around 1025/30. To put it simple - a range between 1025 - 1150 could be expected for the year ahead.
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