S&P 500 Price Forecast – Stock Market Pulls Back to Support

The S&P 500 pulled back a bit during the trading session on Thursday, reaching down towards the 3200 level. The level of course is a large, round, psychologically significant figure, and of course the scene of the 20 day EMA. The candlestick looks a bit ugly early in the session but ultimately we are starting to see the market fight back in this area so it will be interesting to see how this plays out longer term.

S&P 500 Video 31.07.20

We are obviously in an uptrend, and I do not really look at selling opportunities very often when it comes to this market so I like the idea of buying this debt because I do believe that the Federal Reserve is the only game in town and that is what the market is actually paying attention to.

As long as the Federal Reserve keeps those pumps primed, it is difficult to imagine a scenario where the stock market finds itself into much trouble. After all, this is a liquidity fed marketplace and has been for well over a decade. As long as that is the case, then it makes sense that this market trends much higher. Buying dips has worked for ages, and quite frankly I do not see why that would stop now. I have no interest in selling, because I believe that there is a 100 point range between 3230 100 that should offer plenty of support. Keep your position size reasonable, but look for value as it appears.

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