The S & P 500 surged after President Donald Trump announced successful talks with Iran and called off attacks on Iranian power plants and infrastructure. However, chart analysts predict that the short-term bounce will be short-lived due to the already oversold nature of the S &P 500. The most forceful response was seen in the premarket when futures tied to the index rallied by as much as 4.1%. However, they warned that a breakdown in the longer-term trend could increase downside risk. The S&P 500 fell below its 200-day moving average last week and is expected to fall to 6,175 over the next six months, a more reasonable reset level on an intermediate basis, which could represent a roughly 12% correction.