Investing.com -- Despite a volatile April, the S&P 500 could end the month in positive territory, according to BTIG chief market technician Jonathan Krinsky.

“After being down nearly 14% for the month at the April 7th intraday low, the S&P 500 has the potential to close the month green, something that would be unprecedented in the modern era,” Krinsky wrote in a note to clients.

Still, BTIG remains cautious on near-term upside, viewing the index as rangebound and warning that recent gains may be running out of steam.

“With it [the S&P 500] into the upper end of the range, we would be fading it here as we head into May,” Krinsky said.

The S&P 500 filled the 5,571 gap on Tuesday, with resistance seen just above. “The declining 50 DMA comes in at 5613, and there is a lot of residual supply in the 5600–5750 level from the March trading range,” Krinsky noted.

On the downside, he sees the next likely test coming at 5,309.

BTIG also flagged concerns around market breadth and sentiment. They explained that while 85% of S&P 500 components are above their 10-day moving average, only 37% are above their 200-day.

“While this is how new bull markets start, we also see it at the tail ends of counter-trend rallies. We think it’s more likely the latter,” Krinsky wrote.

Krinsky also pointed to a softening dollar and faltering gold prices as signs of potential market weakness ahead.

“The set-up is there for gold to move lower with stocks into May,” he said, warning of possible downside in gold to its 200 DMA near 2,742.