S&P 500 Price Forecast – S&P 500 Approaching a “golden cross”

US Stock Market Forecast Video for 15.02.23

S&P 500 Technical Analysis

The S&P 500 E-mini contract has been all over the place during the trading session on Tuesday, as traders try to figure out what the inflationary picture looks like. Quite frankly, we are still very messy, but it looks like buyers are willing to come in and try to drive those zero expiration day options higher, in order to manipulate the market. This is a game that we’ve been playing for a while and will end in tears for someone. However, in the short term it appears that we are going to continue to see a lot of volatility, so therefore I think we continue to see a lot of “buy on the dip” behavior.

The 50-Day EMA sits below and is trying to cross above the 200-Day EMA, kicking off the so-called “golden cross.” This is a longer-term bully signal, but quite frankly it’s normally late, and it’s not necessarily very common. Looking at this chart, I think that those moving averages could end up being very supportive, and then of course you have the 4000 level underneath there.

Just above, you have the 4200 level, which should of course be psychologically important. At this point, I think if we can break above there, then it opens up the possibility of a run for another 100 points. Whether or not they can pull that off is a completely different question, but at this point in time it certainly looks like they are going to try to get there. However, if we break down below those moving averages underneath, that opens up a floodgate of selling.

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