S&P 500 Price Forecast – Stock Market Hanging Just Below 50 Day EMA

The S&P 500 has rallied a bit during the course of the session on Tuesday to reach towards the 50 day EMA. We have not been able to break above there, but as soon as we can the market is more likely than not going to reach towards the 4700 level in what would be top of the consolidation range that we have been in. I anticipate a lot of chop in the short term, so do not be surprised at all to see this market simply do a lot of back and forth grind between now and the end of the year.

S&P 500 Video 22.12.21

We are in an uptrend though, so I do believe that the more likely than scenario than anything else is that we could see back-and-forth, and if that is going to be the case it should be noted that we are at the bottom of the range. I do not know that we break out above the recent highs, but if we did then it could open up a move to the 4800 level.

While the world is running around with the terror on fire about omicron, the reality is that the markets are not panicking. All one has to do is take a look at the bond market to realize that there has not been some type of total meltdown. With this, I still believe in the uptrend, but I also recognize that this time year it is hard to get traders excited about anything. I have no interest in shorting this market, but that is generally I feel about US indices to begin with.

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