SPX Tech analysis by Simon Kazinsky on 16:48 June 19, 2017 EST
The benchmark index for the main US 500 American companies is about to reach an important level just a few points above the 2,500 mark a round figure that is also important on its own.
Drawing Fibonacci ratios in a multi decade chart between 2,506 and the low of 2009 yields very important levels that coincide with long time tops and bottoms.
The most significant Fibo is at the 50% ratio that marks at 1,583 the top of 2007, just a few months before the financial meltdown a decade ago.
Also important at 38.2% two lows were set in 2014 and 2016 that ended a multi month correction and were the prelude of the next wave up to the current highs.
On the first day of trading this week the index appears to travel to test the level which is only 2% away. It will be very interesting to see how the index reacts if it is finally reached.
Meanwhile the Dow Jones composite index has already reached an equivalent level.