Stock Trading Alert originally published on October 5, 2015, 6:46 AM:

Briefly: In our opinion, speculative long positions are favored (with stop-loss at 1,900, and profit target at 2,020, S&P 500 index)

Our intraday outlook is bullish, and our short-term outlook is bullish:

Intraday outlook (next 24 hours): bullish
Short-term outlook (next 1-2 weeks): bullish
Medium-term outlook (next 1-3 months): bearish
Long-term outlook (next year): bullish

The U.S. stock market indexes gained between 1.2% and 1.8% on Friday, as investors reacted to economic data releases. Our Friday’s bullish intraday outlook has proved accurate. The S&P 500 index broke above its recent short-term consolidation. The nearest important resistance level is at 1,950, and the next level of resistance is at 2,000-2,020 marked by local high. On the other hand, support level is at 1,870-1,900:

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Expectations before the opening of today’s trading session are positive, with index futures currently up 0.5-0.7%. The main European

stock market indexes have gained 2.1-3.2% so far. Investors will now wait for the ISM Services number release at 10:00 a.m. The S&P 500 futures contract (CFD) is within an intraday uptrend, as it currently trades slightly above the level of 1,950. The nearest important level of support is at around 1,920, as the 15-minute chart shows:

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The technology Nasdaq 100 futures contract (CFD) follows a similar path, as it extends its last week’s move up. The nearest important level of resistance is at 4,300, and support level remains at 4,250, among others, as we can see on the 15-minute chart:

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Concluding, the broad stock market extended its short-term uptrend on Friday, following volatile trading session. There have been no confirmed positive signals so far. However, we continue to maintain our already profitable speculative long position (1,881.90, S&P 500 index), as we expect an upward correction or downtrend reversal. We decided to move our stop-loss level to 1,900 (S&P 500 index), to protect our gains. Potential profit target remains at 2,020. You can trade S&P 500 index using futures contracts (S&P 500 futures contract – SP, E-mini S&P 500 futures contract – ES) or an ETF like the SPDR S&P 500 ETF – SPY. It is always important to set some exit price level in case some events cause the price to move in the unlikely direction. Having safety measures in place helps limit potential losses while letting the gains grow.

Thank you.