S&P 500 Price Forecast – Stock Market Slice Through 3400

The S&P 500 initially pulled back during the trading session on Wednesday, as the presidential election of course would cause a ton of noise, as we have no idea where things are going to end up. That being said, the Senate remains in the hands of the Republicans, or at least it looks that way right now, and that should keep a bit of a lid on massive tax hikes. However, this also works against the possibility of massive amounts of stimulus, and therefore the markets probably will show some type of disappointment. Even though this candlestick is very strong, I fully believe that we could see a bit of a pullback from here.

S&P 500 Video 05.11.20

Remember, a lot of times the initial knee-jerk reaction is the wrong one. Do not get me wrong, I am not calling for the market to melt down from here, but I think we do not necessarily just shoot straight up in the air either. There are a lot of uncertainties out there, far beyond anything that the morons in Washington DC are going to do. Because of this, I believe the rally will probably pull back a bit, and we will remain in this range until we not only get more clarity about the presidential situation, but also start to weigh upon the outcome of the European Union shutting itself down in multiple countries.

The jobs figures coming out on Friday will also have its say, and of course people will be sitting here and waiting to see what happens with the election count in Wisconsin, Michigan, Nevada, Pennsylvania, Georgia, and North Carolina. Hang on, there still probably a lot of volatility ahead.

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