S&P 500 Price Forecast – S&P 500 Continues to Threaten 4800

US Stock Market Forecast Video for 12-01-2024

S&P 500 Technical Analysis

The S&P 500 showed volatility in early Thursday trading, fluctuating around the key 4800 resistance level. A breakout above 4800 could signal the potential for a significant upward trend in the market. In the meantime, though, I think you have to look at this as a market that just doesn’t really know what to do with itself. So, with that being the case, I think it’s very important that you recognize that 4,700 underneath is significant support. So it’s very possible we just kind of kill some time here.

The market rallied rather drastically previously, and it does make a certain amount of sense that we would have to at least work that off. If we were to break down below the 50 day EMA, then it opens up a move down to 4,500. As usual, this is going to be all about the interest rate expectations in America. You know, if they look like they’re going to cut interest rates at the Federal Reserve, Wall Street cheers. That being said, the market right now does seem to think that we overran to the upside.

If we break above 4800 it opens up a move to the 4900 and then eventually 5000 level which I do think is probably your longer term target. In general, expect a lot of buy on the dip behavior, as has been the case for some time, but I don’t know if the candlestick that we’re forming on Thursday changes that. Ultimately, the market seems to not know what to do with themselves at the moment, and I think that will be the situation going forward.

Eventually we will get some momentum, but keep in mind that we ran so far to the upside at the end of last year that a lot of traders are probably hesitant to put a lot of money into the market at this point, due to the fact that there is so much uncertainty. While I do think the market remains bullish over the longer term, the reality is that we need to find some momentum.

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