S&P 500 Price Forecast – Markets Ready to React to Jobs Number
The S&P 500 has rallied a bit in the futures market on Friday, in what would have been limited hours. That being said, with the United States adding 916,000 jobs during the month of March, I do believe that Monday will probably send this market much higher. This will be especially true now that Wall Street will be back to work. After all, Friday was Good Friday and therefore there was a significant lack of liquidity.
S&P 500 Video 05.04.21
To the downside, I believe that we have support at the 4000 handle, the 3950 level, the 50 day EMA, and that of course the 3800. That being said, this is a market that I think continues to attract a lot of attention and therefore I think that there would be a lot of people looking to take advantage of any “value” that leaks back into the market. If we break down below the 3800 level, then I might be a buyer of puts, but that would be a short-term position more than anything else.
To the upside, I think that the market is likely to go looking towards the 4200 level, which of course is a large, round, psychologically significant figure, and this market tends to move in 200 points in general. At this juncture, the last couple of days have shown more of a breakout and a slicing through major resistance, so I think we are in fact on the precipice of a bigger move to the upside as we go looking towards more profits for the buyers going forward.
For a look at all of today’s economic events, check out our economic calendar.