S&P 500 Price Forecast – S&P 500 Awaits Data and Decisions

US Stock Market Forecast Video for 14.09.23

S&P 500 Technical Analysis

The S&P 500 has been very quiet waiting for the Consumer Price Index figures coming out of the United States, and of course the European Central Bank interest rate decision which will have massive influence on the trajectory of the Euro, which by extension has massive influence on the trajectory of the US dollar.

All things being equal, we are in an uptrend, and I do think that even if we do pull back from here, there is a huge gap that started the week off in the futures markets, which should offer plenty of support, especially as it is backed up by the 50-Day EMA. With all of that, I do think that there is a huge likelihood of a lot of interest in buying on the dips. Even if we were to break through all that, the 4400 level should be a bit of a floor in the market as well. On the other hand, if we break above the highs of the last couple of days, it opens up a move well above the 4600 level given enough time. All things being equal, as we are in an uptrend, I do think it probably happens given enough time, but we may need to see the market pullback first in order to entice buyers to come back again.

Remember, Wall Street has the skill of finding the narrative that will make stocks go higher over the longer term. Yes, the overall economy isn’t necessarily doing that well, but you could have said that about the economy the entire time that the S&P 500 has rallied. In other words, it’s got nothing to do with the economy, and it typically has to do with either liquidity or the latest “narrative” circling The Street. Because of this, you have to understand that human behavior dictates that people buy stocks and not sell them most of the time, and of course the S&P 500 is driven by a handful of stocks that everybody owns, and therefore tends to go higher as they chase even higher returns and companies like Tesla, Microsoft, etc.

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