Last two weeks investors have enjoyed nice rebound rally. Actually the best two weeks in 70 years history when S&P 500 gained 20 %. Technically very important line is at level of 804 points. On Monday index crossed this line and stayed above the whole week. 800's level is not only support/resistance point in current bear market market it had been bottom in previous bear market in October 2002.
Next week brings G-20 meeting on Thursday, Auto industry reality check on Tuesday. And also plenty of economic data. Therefore these news should lead investor's sentiment.
Check out also latest analysis from Adam Hewison. Adam analysis S&P 500 with Fibonacci retracement. He calls short term peak at 839 with possible downside correction. Current index level shows a trigger of new bull market somewhere around 943.
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Do you mean, that it is short-term overbought? You do not explain the basis for your statement. I think you must be referring to momentum/breadth type data. It was oversold under 700 but I think it is overbought now, at least on a short-term basis.
Thank you Ariel for remark. It was mistake in the title. It is corrected now