Marina Lyubimova
⬤ The S&P 500 slipped lower after running into resistance at 7,000 once again, unable to hold gains above this major psychological level. Geopolitical concerns around Iran came back into play during the session, weighing on market sentiment and triggering a pullback across US equities. The chart shows SPX turning lower from recent highs, highlighting just how stubborn this resistance zone has proven to be.
⬤ Technically, the focus has shifted to downside support levels. The first one to watch sits at 6,905, with 6,878 marking a deeper zone if the selling continues. Both levels line up with earlier consolidation areas and represent important near-term support structures that could dictate where the index goes from here.
Renewed geopolitical risks related to Iran resurfaced during the session, contributing to selling pressure.
⬤ That said, the broader uptrend is still in place. SPX remains above its key moving averages, and while momentum has cooled off, there's no sign of a full reversal just yet. The pullback looks measured rather than chaotic, suggesting this might just be a breather after recent strength.
⬤ What happens next around 6,905 and 6,878 will be telling. If SPX can hold these levels, the dip may stay shallow. But repeated failures at 7,000 combined with geopolitical uncertainty could shift sentiment quickly. With risk appetite fragile, how the index reacts to these support zones will likely shape the market's direction in the days ahead.
Marina Lyubimova
