S&P 500 Price Forecast – S&P 500 Continues to See Dip Buyers

S&P 500 Technical Analysis

The S&P 500 fell a bit during the early hours in the Monday session, but ultimately, this is a market that looks very much like one that wants to try to turn things around. And it’ll be interesting to see how this plays out once we get into heavier trading in New York. The 5,300 level, of course, is an area where a lot of people pay close attention. It’s the latest massive options barrier. It’s the big round figure that people have reacted to multiple times. So, I do think it’s probably only a matter of time before we try to get above there.

The jobs report is on Friday, so that’s going to have a major influence as well, so do keep that in mind. But ultimately, I think this is a market that given enough time will break to the upside and eventually go much higher. In fact, you can make a serious argument for a bullish flag here bouncing from the 50 day EMA a couple of sessions ago.

Whether or not that actually holds remains to be seen, but it certainly could be a major factor with technical traders paying close attention to it as an example. With this, I like the idea of taking advantage of short-term dips, but I do recognize it is going to be a very noisy market, at least in the short term. Over the longer term, I don’t think much has changed, and that jobs number on Friday could be pivotal in giving us momentum.

We’ll have to wait and see how the market reacts, but it certainly looks like it’s setting up for a move to the upside, despite the fact that it’s been very choppy as of late.

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