S&P 500 Forecast August 8, 2017, Technical Analysis

The S&P 500 showed a little bit of resiliency at the opening on Monday, but I believe we are going to continue to see sideways action as the S&P 500 has been a bit of a laggard in the US indices. Given enough time, we should go looking towards the 2500 level above, which is the medium-term target. A break above there is very bullish instances market in the more of a “buy-and-hold” attitude, but in the meantime, I think you can buy short-term pullbacks as a should be supported near the 2450 handle at the very least. The market seems to be grinding sideways overall, as perhaps we are trying to consolidate all of the news from the earnings season.

Waiting for the break out

Once we get the break out above the 2500 level, I would not only become a buy-and-hold type of trader, but I would also become aggressive, adding on short-term dips as it should show extreme resiliency in a market and of course a major breakout of a large, round, psychologically significant number. I have no interest in selling the S&P 500, at least not until we break down below the 2400 level below, which isn’t going to happen today.

S&P 500 Video 08.8.17