S&P 500 Price Forecast – S&P 500 continues volatile Ron

The S&P 500 rallied rather stringently during the early hours of Tuesday but seem to be running into trouble near the 2780 handle. This is an area that continues to be resistive, and I think at this point it makes sense that we may roll back a little bit. We have been consolidating between 2700 and 2800 as of late, and I think this is probably going to continue to be the case. When I look at this chart, it seems as if there is a lot of confusion, and I think that makes sense considering that there are trade war fears, higher interest rates in the United States, and of course earnings season coming.

Using a range bound system is probably the best way to trade this market, as there is simply no real directionality at the moment. The market has recently suffered a couple of major setbacks, and I think a lot of people are afraid to put large amounts of money back into the marketplace. I think we will continue to be a bit skittish, so I would keep my trading positions relatively light, and simply go back and forth and try to take advantage of what seems to be clearer support and resistance at this point. Keep in mind that there is probably more fear than greed going, so it’s probably easier to short this market more than anything else. If we do break above the 2800 level, the market would then break much higher, and it would show a return to the bullish attitude.

S&P 500 Video 17.10.18