S&P 500 Price Forecast January 31, 2018, Technical Analysis

The S&P 500 broke down during the trading session on Tuesday, slicing through the 2850 level to show signs of support again. I think there is more than enough support at the 2800 level underneath to keep the market afloat though, so I’m more than willing to start buying on signs of support and more importantly, volume. If we get a large, green candle, accompanied by a lot of volume, I am more than willing to go long as the market has been very bullish.

I believe that the 2800 level will show signs of massive interest, but even if we broke below there I would anticipate that the 2750 level would also be very supportive. I like the idea of buying this market and adding every time we pull back on the longer-term move, and for those of you who have been following me at FX Empire, you are probably looking to do that now. Longer-term, I believe that the 3000 level should be a target, reached sometime this summer. I believe that the algorithmic traders will continue to be attracted to this market every time we dip, so therefore I have no interest in shorting this market. I believe that the US dollar will continue to be soft, and that helps with the S&P 500 companies and their profitability. It’s very noisy market, but most certainly a bullish one when looked at through the prism of the longer charts.

S&P 500 Video 31.01.18