S&P 500 Index Futures Forecast December 12, 2012, Technical Analysis

The S&P 500 futures rose rather rapidly during the session after initially starting out somewhat soft on Tuesday. We closed at just over the 1430 level, and this does of course line up with a support or resistance level. This will make for an interesting session today as the Federal Reserve ends its two day meeting. The announcement will be important for the future direction of the market, and if the Federal Reserve manages to engage in more quantitative easing, or at least in expansion and continuation of the so-called “Operation Twist”, we should see continued strength in this market. I currently think that we will eventually see the 1460 level if the Federal Reserve doesn’t get in the way.