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S&P 500 Price Forecast – S&P 500 Continues to Look For Floor

By:
Christopher Lewis
Published: Apr 18, 2024, 12:58 GMT+00:00

The S&P 500 continues to look like it is trying to find some kind of floor, and therefore it could get a bounce at this point in time. If that’s the case, we have a chance at value.

In this article:

S&P 500 Technical Analysis

The S&P 500 is trying to show signs of strength here on Thursday as the market is bouncing around just above the 5,000 level. The 5,000 level of course is an area that is a large round psychologically important figure, and a lot of people will be paying close attention to it.

With that being the case, I do think that it is probably only a matter of time before buyers come in and try to take advantage of cheap contracts. The 50 day EMA above and the 5100 level both are worth paying close attention to as they are areas of potential resistance. If we can break that level, both of those levels for that matter, then it’s likely that we will go much higher.

In that scenario, I think you have to look at it through the prism of more of an upward trajectory. And yes, there are a lot of concerns and drama out there about the Federal Reserve and whether or not it will cut rates this year. Ultimately, they are more likely than not still will, or Wall Street will find a narrative to sell stocks so the market goes higher.

We are in the midst of earnings season, which has a certain effect as well, so keep that in mind. So, volatility makes sense. I think we see a little bit of sideways action and perhaps a push higher given enough time. If and when we can break above the 5100 level, then it opens up a move towards the 5300 level above.

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

About the Author

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.

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