S&P 500 Index to enjoy a deeper bounce above the 4600 level – SocGen

S&P 500 briefly breached last October lows at 4280 and found strong support near 4200, the 23.6% retracement of the whole up move since 2020. Now the index is staging a strong rebound and further gains are expected once above 4580/4600, economists at Société Générale report.

4425 is first support

“A sharp bounce is under way leading the index close to first layer of resistance at 4580/4600 representing the lower limit of previous channel. This must be overcome for extension in rebound.”

“If the index fails to establish itself above the 4580/4600 hurdle, a pullback is not ruled out. 4425 will be first support.”

See: S&P 500 Index to tank towards a 3,400-3,700 range on escalation of Ukraine-Russia crisis – UBS