S&P 500 Jun 04 to Jun 08 OutlookBy on 2012 Jun 2 Sat 7:05:01
Similar to Dow, false breakout to the upside early in the week leading to test of Y-1. Bounced fiercely into NFP then double slam down by euro zone news shock and bad NFP numbers. Closed the week at the low.
News driven market has a strong tendencies moving back to the point where the shock started. Hence, Y+1 / B+1 will be in the card once a short term bottom is found.
There is no need to pick bottom. If a bottom is formed, there will be ample time to jump on board for the run back up to B+1 and probably higher.
The nearest support zone is previous year close and January low. Closing that gap would remove the main excuse to go lower.