Renko Chart Trading and Technical Analysis
Today, the SP 500 FUTURES reached a new all-time high. The SP 500 continued to rise steadily throughout the day on Friday. We should keep a watch on the situation in the coming days to see whether prices will climb further. So far, no spectacular breakout has occurred, pushing the futures to 4,300 or higher. As a result, the SP 500 is likely to reverse direction and revisit the support levels at 4,200 or 4,180. Technical analysis of the SP 500 and Renko chart trading patterns indicates that the present V-shape rebound will continue. Furthermore, the longer-term bullish trend line has steadily risen, and it is now around 4,180.
- The traditional 6-point brick size is used in the Renko chart.
- On the up side, the Renko chart shows no apparent obstacles.
- On the downside, the previous high of 4,242 will provide decent support, followed by the 4,200 support zone.
The SP 500 rose steadily throughout the day on Friday. It finished at yet another all-time high. Despite the fact that there is no obvious barrier to the upside, the SP 500 is likely to reverse course and return to the support levels at 4,200 or 4,180.
- On the upside, the Renko chart shows no obvious barriers.
- On the downside, the previous high of 4,242 will give some support, followed by 4,200 and then 4,180 support zones.
How to Apply Renko Chart Trading Patterns and Technical Analysis in Trading – Support, Resistance, and Trendline
The daily chart below shows the rising trend line and several support levels that are keeping the SP 500 FUTURES on the rise. The rising trend line is close to the 4,180 level, which is also a significant support level. The present strong V-shape recovery is anticipated to continue, driving up prices.
Daily Renko Chart
In the hourly chart below, the SP 500 is in record territory, but it is just slightly higher than the previous high of 4,254. Above the 4,212 mark, we can see some small support. The main support, however, looks to be between 4,170 and 4,212. The SP 500 is projected to rise further, pushing the price higher. It is also likely to take a pause and retest the previously indicated support levels before continuing to rise.
Hourly Renko Chart
The patterns in the 5-minute chart below are similar to those in the hourly chart. The support levels differ slightly, owing to the fact that the 5-minute chart is more sensitive to price fluctuations. Above the 4,224 level, we find moderate support. The main support area is located between 4,188 and 4,224 levels. The SP 500 FUTURES is quite likely to return to the previous high of 4,254 and retest the support level before continuing their upward trend.