S&P 500 Price Forecast – S&P 500 Futures Tests the Low Again

S&P 500 Technical Analysis

The S&P 500 continues to cause headaches for traders around the world, as we are seeing quite a bit of selling pressure. While we did bounce early against the recent lows, there is nothing on this chart that suggests we cannot go through there again. In fact, I would anticipate it based upon the massive candlestick that formed during the day on Wednesday. That shows real fear, and quite frankly we are nowhere near capitulation yet. As long as that is going to be the case, I do believe that the S&P 500 is a market that you are looking to sell on rallies.

Earnings calls have been quite frightening as far as the US consumer is concerned, and that is something that a lot of people will be paying attention to. As long as it looks like the US consumer is starting to buckle, it is hard to imagine a scenario where the S&P 500 takes off to the upside. Granted, it may perform better than a lot of its contemporaries around the world, but that does not mean that it will be positive. “Less bad” is not where you want to be.

Quite frankly, I would have nothing to do with the stock market at this point, it is far too volatile and definitely too dangerous we need to clear the 4150 level at the very minimum to consider this a market turnaround, and quite frankly that does not look very likely to happen anytime soon. With this, I believe that the market is one that you continue to fade rallies, as I am sure plenty of other players will.

US Stock Market Forecast Video for 20.05.22

For a look at all of today’s economic events, check out our economic calendar.