FX.co ★ Trading idea for the S&P 500

The S&P 500 has been correcting for the past three weeks. Now, it is near the yearly highs , and has two pin bars in the trend.

Considering this, investors can enter long positions in order to set off a pullback in the daily chart.

This is further confirmed by the three-wave pattern formed by the quotes, wherein wave A represents the buying pressure this late May.

So, investors should consider opening a long position in order to prompt a 50% or 61.8% retracement from 4167 and 4165. Place stop loss at 4080, and then take profit on the breakdown of 4240.

This plan follows the Price Action and Stop Hunting methods.

Good luck and have a nice trading day!