![](https://blog.trive.co.za/wp-content/uploads/2024/03/inv-1024-x-512-px-2024-03-04T161709.431.png)
The S&P500 Futures (CME: ES) have been captivating investors with yet another record-breaking session, reaching a new peak of 5149.25 last week.
This surge reflects the growing interest among traders and investors in index futures. Fuelling this momentum are robust earnings results, particularly in the tech sector, where Artificial Intelligence companies have been thriving.
Factset data reveals that a significant percentage of S&P500 companies have reported positive earnings surprises, surpassing the 10-year average. Impressively, 79% of S&P500 companies have disclosed their Q4 2023 results, with 75% reporting earnings per share above estimates. This flurry of upbeat earnings not only boosts sentiment but also validates the positive outlook surrounding the S&P500 Futures. As investors eagerly anticipate further developments, the index’s performance continues to underscore its significance as a barometer of overall market health and economic sentiment.
Technical
The S&P500 Futures are currently exhibiting a strong uptrend, well supported by its position significantly above the 100-day moving average.
Recent buying activity at the 4959.00 level propelled the index futures higher, establishing this level as a key support zone. However, a slight retreat from the all-time high at 5149.25 suggests a potential weakening of upside momentum. Should this downturn persist, attention may turn to the 100-day moving average as a crucial level of interest to the downside.
Conversely, a breakout above resistance, especially on high trading volume, could signal sustained bullish momentum. In such a scenario, the 23.60% Fibonacci Extension level becomes a potentially noteworthy target to the upside. Market sentiment remains cautiously optimistic, with investors closely monitoring price movements for potential signals of further upward continuation or a reversal in trend.
![](https://blog.trive.co.za/wp-content/uploads/2024/03/image-5-1024x503.png)
Summary
In conclusion, S&P500 Futures have surged to record highs, fueled by robust earnings and investor optimism. While supported by a strong uptrend and key support at 4959.00, attention shifts to potential resistance at 5149.25.
Sources: Reuters, Factset, TradingView
Piece Written By Nkosilathi Dube, Trive Financial Market Analyst
Disclaimer: Trive South Africa (Pty) Ltd (hereinafter referred to as “Trive SA”), with registration number 2005/011130/07, is an authorised Financial Services Provider in terms of the Financial Advisory and Intermediary Services Act, 37 of 2002. Trive SA is authorised and regulated by the South African Financial Sector Conduct Authority (FSCA) and holds FSP number 27231. Trive Financial Services Ltd (hereinafter referred to as “Trive MU”) holds an Investment Dealer (Full-Service Dealer, excluding Underwriting) Licence with licence number GB21026295 pursuant to section 29 of the Securities Act 2005, Rule 4 of the Securities Rules 2007, and the Financial Services Rules 2008. Trive MU is authorized and regulated by the Mauritius Financial Services Commission (FSC) and holds Global Business Licence number GB21026295 under Section 72(6) of the Financial Services Act. Trive SA and Trive MU are collectively known and referred to as “Trive Africa”.
Market and economic conditions are subject to sudden change which may have a material impact on the outcome of financial instruments and may not be suitable for all investors. Trive Africa and its employees assume no liability for any loss or damage (direct, indirect, consequential, or inconsequential) that may be suffered. Please consider the risks involved before you trade or invest. All trades on the Trive Africa platform are subject to the legal terms and conditions to which you agree to be bound. Brand Logos are owned by the respective companies and not by Trive Africa. The use of a company’s brand logo does not represent an endorsement of Trive Africa by the company, nor an endorsement of the company by Trive Africa, nor does it necessarily imply any contractual relationship. Images are for illustrative purposes only and past performance is not necessarily an indication of future performance. No services are offered to stateless persons, persons under the age of 18 years, persons and/or residents of sanctioned countries or any other jurisdiction where the distribution of leveraged instruments is prohibited, and citizens of any state or country where it may be against the law of that country to trade with a South African and/or Mauritius based company and/or where the services are not made available by Trive Africa to hold an account with us. In any case, above all, it is your responsibility to avoid contravening any legislation in the country from where you are at the time.
CFDs and other margin products are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how these products work and whether you can afford to take the high risk of losing your money. Professional clients can lose more than they deposit. See our full Risk Disclosure and Terms of Business for further details. Some or all of the services and products are not offered to citizens or residents of certain jurisdictions where international sanctions or local regulatory requirements restrict or prohibit them.