The S&P 500 rebounded Thursday as bulls finally stepped in and bought stocks at a key support level. Traders are now watching to see if the index can repair some of the recent technical damage.

The S&P 500 is more oversold that it was at the March low, based on the 14-day Relative Strength Index (RSI), said Tarquin Coe, technical analyst at Investors Intelligence.

“Momentum is close to where it was at the lows of last summer. Additionally the 150-day exponential moving average may provide some support as may the bottom of a potential four month rising trend channel,” Coe said in a report Thursday.

SPDR S&P 500 ETF (NYSEArca: SPY) traded higher Thursday following its six-day pullback. It was up 2.5% year to date as of Wednesday, according to Morningstar.

“Essentially the reversionary risk is high and we are reluctant to close out longs at what could well be the lows for the pullback,” Coe wrote in a subscriber newsletter Thursday.