In the long term, the current SPX500 formation hints at a major uptrend that is moving inside the green channel.
SimpleFX SPX500 Chart Analysis: April 21, 2022.
We see that at the end of March, the price touched the upper green line. Bulls could not break through this wall, so bears entered the market. On March 18, the price fell to the lower green wall. This period describes the descending channel of yellow color.
After the last rebound from the lower green line, the market began to creep up. It is assumed that in the near future the growth will continue in the direction of the upper yellow line. In case of a successful breakdown of the resistance level of 4505.6, the bulls will be able to continue leading the market to the upper green line and the resistance level of 4834.1.
However, there is a possibility that the bulls may not have enough strength to hold positions. It is worth considering an alternative option for price movement in this case. It can be assumed that the price will move in a downward direction to the lower green line in the next coming trading weeks. In case of a breakdown of the support level of 4410.7, the bearish trend can be continued to the lower yellow line and the support level of 4308.8, which is located on it.
We will continue to monitor the stock index further.