S&P 500 Gains Ground As Exxon Mobil Tests All-Time Highs

S&P 500 Advances Before Midterm Elections

As energy stocks rose at the beginning of the week, the S&P 500 gained territory. The heavily weighted NASDAQ Composite in the technology sector traded virtually unchanged today. While Meta kept rising from yearly lows, pressure remained on Apple, Amazon, and Tesla.

Because market players were a little uneasy before the U.S. midterm elections, trading today was turbulent.

From a broad perspective, the market is gradually recovering from the most recent sell-off. It is still unclear whether the outcome of the election will significantly affect market sentiment because Fed policy continues to be the main driver of the S&P 500.

The market is not prepared for a long-lasting rebound, which is why the relative weakness of tech equities is concerning. Energy stocks were the only sector to experience growth over the past three months. There has been impact on other market segments.

The turbulent market behavior will persist if the tech sector continues to be poor and the energy sector is supported. For instance, top oil producers Exxon Mobil and Chevron are currently testing record highs, while Tesla is trading at multi-month lows.

The S&P 500 is headed for resistance at 3805

S&P 500 moved toward the next resistance level at 3805 after clearing the resistance at 3760. If the correct catalysts materialize, there is plenty of potential to increase the upward momentum while the RSI is still in the moderate range.

The S&P 500 will move toward the next resistance level at 3835 if it settles above the resistance at 3805. If this level is successfully tested, the resistance at 3885 will then be tested.

The prior resistance level at 3760 will act as the S&P 500's initial support level on the support side. If the S&P 500 drops below this point, it will move in the direction of support at 3725. If the S&P 500 drops below the 3725 level, it will move in the direction of support at 3690.