S&P 500 Price Forecast – S&P 500 Continues to Look Very Strong

Christopher Lewis
Updated: Jun 20, 2024, 16:06 GMT+00:00

The S&P 500 looks ready to continue going higher at this point, as traders in New York are coming back from a mid-week holiday. This is a market that has recently broken above the crucial 5500 level, and now looks ready for more.

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S&P 500 Technical Analysis

The S&P 500 has continued to rally at this point in time, I think you have a situation where the market will just continue to break out. The 5500 level has now been broken above, and I think you have a situation where you continue to see a lot of buy on the dip attitude. Quite frankly, this is a market that, although a little stretch, you certainly cannot, whatever you do, short this market. So, you have to look at this through the prism of trying to find value on each and every dip. I think given enough time, we will more likely than not see this market offer value. But generally speaking, you’re going to be forced to get long if you’re going to be involved at all.

The 5,300 level underneath is a major support level and I do think that is your floor in the market at the moment. With that being said, if we got anywhere near there, I’d become much more aggressive, but I think each short-term dip probably is an opportunity to dip your toe in the market with a small position.

Clearly, the momentum is to the upside at this point. Yes, we’re a little overdone, but we’ve been overdone most of the year. Because of this, I feel that a lot of traders out there will only hold their noses and buy anyway. Dips continue to be opportunities from what I see, but the catch of course is waiting to see when the momentum swings back to the upside on each drop.

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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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