S&P 500 Price Forecast December 29, 2017, Technical Analysis

The S&P 500 rallied slightly during the trading session on Thursday, but at this point in time it looks as if the 2675 level is going to continue to be support. I think that the market will eventually break out to the upside, perhaps reaching towards the 2700 level. A break above there is a sign that we could go to the 2750 level. I believe that every time we pull back, it represents a bit of value, and with the recent tax reform legislation, it’s likely that traders will continue to look at this market as one that offers value. The 2650 level underneath is even massively supportive as well. The attitude of the markets continue to be “buy the dips”, but algorithmic traders are probably not bothered with being involved right now, which of course have a massive influence on what we have going on. Being between 2 major holidays, I don’t read too much into this trading environment, but if we get an opportunity to buy this market on short-term burst, I would do that, but I would do in small bits as the thin volume could have markets turning around quite rapidly, causing massive resistance.

Looking at the moving averages, we are starting to flatten out in general, so I think that the market is one that isn’t ready to go anywhere anytime soon. It would not be a market that I want to be involved in, so I’m waiting until after New Year’s Day to put any money to work.

S&P 500 Video 29.12.17