S&P 500 Price Forecast – markets sideways on Friday

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Updated: Aug 4, 2018, 05:13 UTC

The S&P 500 did very little during the day on Friday as the jobs number came out slightly under the anticipated numbers, but the previous months had been revised to the upside. Because of this, it’s likely that we will continue to see the market drift higher, but more than anything else I look at the Thursday session as the reason we went sideways during the day on Friday as we were exhausted.

The S&P 500 exploded to the upside on Thursday, but on Friday we went sideways as the 2820 level underneath has offered support. I think short-term pullbacks are buying opportunities, and that the 2820 level should offer support. I believe that support also shows up at the 2800 level, so this point I’m looking for a pullback to take advantage of. Overall, I don’t have any interest in shorting this market, and a pullback at this point would probably be an opportunity to go long over the short term. However, there’s also a bit of resistance above, so I think we will continue to go back and forth, and I think that the noise in this market will offer plenty of opportunities.

Overall, this is a market that I think does favor the upside, especially if we get the US dollar to calm down a bit and soften. There are signs of that in the Forex markets, as well as the precious metals markets. Because of this, it’s likely that we will see a proclivity to go to the upside, but the occasional volatile move is expected in a market like this. Short-term back and forth trading is probably going to be the best way going forward, but I would keep an upward bias overall currently.

S&P 500 Video 06.08.18

About the Author

Christopher Lewisauthor

Being FXEmpire’s analyst since the early days of the website, Chris has over 20 years of experience across various markets and assets – currencies, indices, and commodities. He is a proprietary trader as well trading institutional accounts.