S&P 500 Price Forecast – Futures Markets Wait for Jerome Powell

US Stock Market Forecast Video for 02.02.23

S&P 500 Technical Analysis

The S&P 500 E-mini contract has done very little during the trading session on Wednesday, as we will get a statement from the FOMC, and of course Jerome Powell will have a lot to say about the monetary policy going forward, as the market seems to be trying to fight against the Federal Reserve. That being said, the market is likely to see a huge move one way or the other, depending on what Jerome Powell can accomplish after the FOMC meeting. If we break down below the 200-Day EMA, it will more likely than not signify that Jerome Powell has accomplished his mission of scaring the market back into submission.

On the other hand, if we were to break above the 4100 level, then it’s possible that we could go to the 4200 level. The 4200 level is an area where we have seen a lot of noise previously, so clearing that would obviously be a very bullish sign. All that being said, this has been a very noisy market, therefore it’s likely that we would see more volatility after the announcement, and perhaps a bigger move.

The market continues to believe that they can push the Federal Reserve around, so now to be interesting to see whether or not they can actually do so. Regardless, the rubber meets the road late Wednesday, so we should see a huge move in one direction or the other from this major inflection points. Be cautious with your position size, so that the noisy behavior doesn’t take you out quickly.

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