S&P 500 Weekly Price Forecast – S&P 500 Continues to Show Volatility

S&P 500 Weekly Technical Analysis

The S&P 500 fell significantly during the course of the trading week and even during the Thursday overnight. Going into Friday session, we saw the market plunge below the 5000 level. The 5000 level is an area that, of course is going to have a lot of psychological importance attached to it.

So, it’s a good sign that we have recovered. Quite frankly, we had dropped about 8% over the course of a couple of very ugly weeks. And this is something that the market needed. We’re now in the midst of earnings season, and that could cause a bit of volatility. Not to mention the fact that we also have the Federal Reserve likely to stay tight for longer than people had hoped.

That’s been the theme for most of the year. And of course, geopolitical tensions could cause chaos, especially in the Middle East at any moment. With that being said, this is a market that is still very much in an uptrend, despite the fact that we did have the pullback. And I think value hunters are starting to try to take advantage of this.

Whether or not I would get too big might be a different question, because you do have to worry about the weekends. You know, who knows what happens. But at this point in time, I do think that value hunting is starting to come back into vogue. And with the earnings season, we may get some earnings that help lift the market in general.

There’s a lack of major macroeconomic numbers over the next week or so, and that could also help the market just simply because it might be a way to just get away from a lot of the drama. We’re in an uptrend that hasn’t changed. This could possibly be an area where people are willing to pick the market up.

For a look at all of today’s economic events, check out our economic calendar.