S&P 500 Futures Analysis – tradeCompass for May 23, 2025
Current price at the time of this analysis: $5,857
Bearish Below: $5,860
Bullish Above: $5,865
Bias: Bearish at current level
The S&P 500 futures are trading in bearish territory today, just under the $5,860 key threshold. According to the Trade Compass methodology, we maintain a bearish outlook while price remains below this level, with a potential shift to bullish bias only if price sustains above $5,865.
S&P 500 Futures Today - Bearish Scenario & Partial Profit Targets
Trade Compass emphasizes partial profit-taking to manage risk and lock in gains incrementally. Whether you're trading 1 E-mini contract, 10 micro contracts, or using CFDs, you can apply this approach.
Bearish Profit Targets:
$5,855 – Near current price. Conservative first target.
$5,850 – Semi-round number. May act as short-term support.
$5,837 – Just above May 12th VWAP.
$5,827 – Just above the May 12th Value Area Low.
$5,810 – Close to a major low on May 12 and just above the $5,800 psychological round number.
Stop Management Tip: After reaching the second target ($5,850), consider adjusting stops to breakeven or better on the remainder of your position.
S&P 500 Futures Today - Bullish Scenario if Price Reverses
Despite the bearish context, the Trade Compass remains open to reversals. Should price break and hold above $5,865, here are the bullish targets:
$5,882 – Just below the May 21st Value Area High.
$5,904 – Also aligned with a key May 21st level.
$5,947 – Longer-term runner target, just under May 21st Point of Control (POC).
This setup offers bulls a high-probability progression if key levels are reclaimed with strength.
Investor Note: Watch S&P 500 Futures and a Potential Bounce Between $5,800–$5,815
For longer-term traders and investors, $5,800 to $5,815 is a key area to monitor. This zone may trigger a moderate to strong bounce, especially after several days of retracement. It may not signal an immediate trend reversal, but it's worth watching for a potential base-building process.
Reminder: This is not financial advice. Always trade at your own risk and with a structured plan.
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NEW UPDATE for today's tradeCompass
Status: Choppy session, both directions triggered
Outcome: Modest profit, no overtrading
Today's session illustrates how the Trade Compass protects traders during indecisive markets.
Bearish trade was initiated as price dropped below $5,860.
1st partial profit target hit at $5,855 (+5 pts)
2nd target hit at $5,850 (+10 pts)
Trade then reversed and stopped at entry – no loss on the remainder
Bullish side triggered above $5,865, but:
Failed to reach the first target at $5,882
Reversed back below $5,860, invalidating the setup
This sequence highlights two core principles of the Trade Compass:
Partial profit-taking locks in gains early, even in whipsaw markets.
Defined directional thresholds prevent overtrading – only one trade per direction is allowed. Once both directions are triggered, the day is done.
Stop Logic Reminder: If bullish above $5,865 and bearish below $5,860, your logical stop should not sit far beyond those levels. For example, if long from $5,865, a stop below $5,860 breaks the bullish premise.
While today's Trade Compass didn’t yield large profits, it fulfilled its purpose: controlled risk, small gains secured, and no overreaction in choppy conditions.
