S&P 500 Price Forecast – S&P 500 very volatile on Tuesday

I believe that the S&P 500 is range bound to say the least. At this point, the market looks like it is supported in the 2870 handle, but also has a lot of resistance at the 2890 handle. With all of the major issues around the world as far as global trade and emerging markets are concerned, it should not be a huge surprise that we would struggle. I think at this point, a break above the 2890 level would be extraordinarily bullish, but as we have seen during the day on Tuesday, any rally is likely to fail in the short term. That doesn’t mean that breaking down is going to hold either, it just seems like the market doesn’t know what to do right now. We have been pulling back for some time but on the longer-term charts we remain very bullish looking. Ultimately, this is a market that is going to continue to be very choppy and difficult. Focus on short-term charts, don’t bother trying to hang onto a trade anytime soon, because quite frankly headlines will come out to shake the market on what seems to be almost a daily basis now.

If we do break down below the 2865 level, I think at that point will probably go looking towards the 2850 level below, which was a major level.

S&P 500 Video 12.09.18