S&P 500 Price Forecast – S&P 500 Continues to See Support

S&P 500 Technical Analysis

The S&P 500 initially pulled back just a bit during the early hours on Monday but turned around to show signs of life. At this point in time, I think we are trying to recover from whatever was on Friday that really rocked the markets. I assume would have been the idea that the inflation situation in the United States is real. Hello, Wall Street, thank you for coming out. But at this point in time, they will find a reason to push the market higher and challenge the 5500 level. So, dips at this point will continue to be buying opportunities.

Underneath we have the 5300 level where the 50-day EMA comes into the picture, and I think at that point you have to look at that area as a major support level that will continue to be a major thing to pay close attention to. If we can break above the 5500 level on a daily close, then I think we probably continue to just grind higher.

We are a little extended, so a couple of days of sideways action could also make a certain amount of sense. But either way, the one thing that I’m not looking to do is to go short of this market because Wall Street has shown that it’s willing to ignore anything out there and basically trade the indices on Nvidia or maybe Microsoft or Apple. It seems to be a little bit of a moving target but remember this is an index that is indicative of anywhere from one to eight stocks at any given moment. So, it’s all about chasing the latest thing as it were.

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