S&P 500 Price Forecast – S&P 500 Continues to Power Higher

US Stock Market Forecast Video for 29-01-2024

S&P 500 Technical Analysis

The S&P 500 initially fell during the trading session here on Friday, only to turn around and show signs of strength again. And in fact, it looks like we are probably going to do everything we can to break out to the upside and continue the massive move higher. Ultimately, a lot of this probably comes down to rates dropping in America again, which helps things.

But at the same time, this is just simple momentum. Momentum has been a big driver of where this market has gone as of late and I just don’t see how that changes anytime soon. So with that, I believe we’ve got a situation where market participants continue to just buy every dip, but I would also point out that this is a somewhat short term market.

Underneath the 4800 level will continue to be important support as it was previous resistance. It does look like we’re in the midst of a melt up and it’s probably worth noting that on a Friday session a lot of times, especially once it’s just New York during the session, you get a lot of permabulls coming in to push things to the upside. I anticipate that as we try to close out the session on Friday, we will probably see more of that, but only time will tell.

Given enough time I do think that we are going to go to the 5,000 level, 4,900 of course has a certain amount of appeal to it, because 5,000 I believe at this point in time is going to end up being your longer term target. That obviously causes a lot of headlines out there and therefore I think a lot of people will be very attracted to the idea of the market reaching it.

If we can break 5,000, who knows at that point what happens next? Obviously, it would be in a big, huge bullish run, but at this point in time you have to look at each dip as a potential buying opportunity in a market that just won’t slow down.

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