FUNDAMENTAL OVERVIEW The S&P 500 has been under pressure in the last couple of days as geopolitical tensions increased following reports indicating that Trump was weighing strikes against Iran before the midterm elections. Yesterday, we saw a rebound after Trump said on Truth Social that the US was having productive discussions with Tehran and would not attack Iran before the midterm elections.Markets reacted by unwinding the escalation premium, with oil prices, Treasury yields and the US dollar all falling after Trump's post, improving the risk sentiment and giving the S&P 500 a boost.Looking ahead, Iranian Foreign Minister Araghchi said yesterday that Iran was reviewing US's latest proposal and expected to reply within the next few days. A positive outcome would be positive for the stock market, as a selloff in oil prices would ease inflation and rate hike concerns. A negative response, however, wouldn’t change much but it could limit the upside momentum.Next week, we also have the US CPI report on the agenda that could put downward pressure on the market as traders hedge into the event. Hotter than expected data could trigger a hawkish repricing, and weigh on the S&P 500, while a soft report could lead to a relief rally as the hedges get unwound and rate hike expectations ease. S&P 500 TECHNICAL ANALYSIS – DAILY TIMEFRAMEOn the daily chart, we can see that the S&P 500(CFD contract) pulled back recently amid renewed geopolitical tensions but has bounced yesterday after Trump ruled out strikes on Iran before the midterms. If the pullback extends, we can expect the buyers to lean on the trendline, with a defined risk below it, to position for a rally into new record highs. The sellers, on the other hand, will want to see the price breaking lower to extend the correction into the 7,500 level next, with the 7,613 level as the first target.S&P 500 TECHNICAL ANALYSIS – 4 HOUR TIMEFRAMEOn the 4 hour chart, we can see the price broke above the minor downward trendline that was defining the recent pullback. We can expect the buyers to pile in around these levels, with a defined risk below the broken trendline, to keep targeting new record highs. The sellers, on the other hand, will want to see the price falling back below the broken trendline to extend the drop into the major upward trendline.S&P 500 TECHNICAL ANALYSIS – 1 HOUR TIMEFRAMEOn the 1 hour chart, we have a minor resistance zone around the 7,806 level. The sellers will likely step in around the resistance, with a defined risk above it, to position for a drop into the major upward trendline. The buyers, on the other hand, will look for a break higher to increase the bullish bets into new record highs. The red lines define the average daily range for today. UPCOMING CATALYSTSToday we conclude the week with the University of Michigan Consumer Sentiment survey, although it’s not expected to be a market-moving release. This article was written by Giuseppe Dellamotta at investinglive.com.