S&P 500 Index Price Forecast November 14, 2017, Technical Analysis

The S&P 500 has been very volatile over the last 24 hours, falling from the 2585 level, down to the 2573 level, and then bouncing rather stringently as the Americans came to work. The 2585 level looks to be resistive though, and the stochastic oscillator is starting to cross in the overbought section on the hourly chart. It is because of this that I am looking at the 2585 level as a binary line in the sand, meaning that if we can break above there, then it’s a buying opportunity, but if we show signs of exhaustion, is a short-term selling opportunity, perhaps back down to the 2575 handle. This market looks as if it is treading water, and that makes quite a bit of sense as there are a lot of concerns around the world, but most important for the Americans it is the U.S. Congress not been able to pass a tax bill that has everybody concerned.

In general, I believe that the uptrend should continue, but we need another catalyst, and the only catalyst that I can think of that would send this market to the upside. If we don’t get that, a general slide in the market may be what we see, but I’m not necessarily looking for some type of melt down. I just think that perhaps we have gotten ahead of ourselves, so it makes sense that we would need to pull back to build up the necessary momentum to continue going higher. In general, I remain bullish, but I recognize that finding more value is probably the best way to go about trading the S&P 500, as we haven’t had much of a pullback over the last several months. Ultimately though, I think we do break above the 2600 level.

S&P 500 Video 14.11.17