Violet lines- Fibonacci retracements

Green line- support trend line

SPX is under pressure over the last few sessions breaking below short-term support trend lines. Price is very close to testing the green upward support trend line providing support at 3,967 where we also find the 50% Fibonacci retracement of the last leg up. Fibonacci wise the most important support level is the 61.8% at 3,930. As long as SPX is above the December low, we consider this downward move as a pull back to form a higher low and then we expect a move to new highs. Only failure to hold above December lows will bring bears back in control of the trend.