S&P 500 Price Forecast March 28, 2018, Technical Analysis

The S&P 500 initially tried to rally during the day on Tuesday but rolled over a bit as we continue to see a lot of volatility in the global stock markets. I think that we will continue to go back and forth with headlines coming out about the potential trade war, so keep in mind that we could get sudden and violent moves. I think that the S&P 500 has a “hard floor” at the 2600 level, so if we can stay above there it’s still an opportunity to pick up value on dips. If we break out above the 2680 handle, the market should continue to go higher, perhaps reaching towards the 2720 level, and then maybe even the 2750 handle. I think that trading is going to be choppy over the next several sessions, so keep in mind that the position size should be small that you take on. You can add in small increments as the market proves itself, but I think that the overall uptrend is still intact, although we have certainly been shaken apart lately.

If we were to break down below the 2500 level, then I think we enter some type of bear market that will become increasingly ugly. I suspect that the trade war talk will dissipate though, and that should continue to drive this market higher given enough time as algorithmic traders seem to jump in every time they get an opportunity to.

S&P 500 Video 28.03.18