S&P 500 Price Forecast – Stock Markets Await Fomc And China Trade DealThe S&P 500 has sat relatively quiet over the last couple of days as we await the FOMC and of course the US/China trade deal. The December 15 deadline is this Sunday, and therefore everybody is standing on pins and needles.
The S&P 500 as gone back and forth during the trading session on Wednesday as we continue to wait to see whether or not Donald Trump adds more tariffs on the Chinese this Sunday. Quite frankly, I think he does so a pullback is likely but at this point I also recognize that there will be a lot of buyers underneath. After all, we have seen tariffs added before but it only ended up being an opportunity to go long of the market. At this point, the market should continue to be one that offers value occasionally, and therefore we should continue to look at these pullbacks as opportunity.
S&P 500 Video 12.12.19
Ultimately, if we were to break above the 3150 handle, the market is likely to continue go looking towards the 3200 level. Looking at the chart, the previous ascending triangle measures for that move to 3200 so it makes quite a bit of sense that it happens. Pullbacks all the way down to the 3000 will be thought of as an opportunity to pick up a little bit of value, and therefore it’s likely that the market will continue to be very noisy but I think still has a longer-term proclivity to the upside, at least between now and the end of the year. Money managers will continue to try to pad their results, and this will be one of the easiest ways to do that on the pullback. I have no interest in selling although I recognize there is a bit of danger.
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