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S&P 500 Price Forecast – Stock Markets Continue Sideways Trend

By:
Christopher Lewis
Published: Jun 30, 2021, 16:22 UTC

The stock market has gone sideways again during the trading session on Wednesday, as we await for the jobs figure on Friday.

S&P 500 Price Forecast – Stock Markets Continue Sideways Trend

In this article:

The S&P 500 continues to go sideways during the trading session on Wednesday, but at the end of the day I think the most important thing to pay attention to in this market is the fact that we are simply waiting for the jobs figure. That causes a lot of volatility, and of course it is also worth noting that Wednesday was the last day of the second quarter of the year, so there also could be a little bit of noise due to that. Nonetheless, I do think that this is a market that can only go in one direction over the longer term.

S&P 500 Video 01.07.21

Taking a look at the chart, you can see that the 50 day EMA is sitting just above the uptrend line, and therefore I think a lot of people will be paying close attention to. With that being the case, I like the idea of buying dips going forward as the market is very likely to continue seeing quite a bit of upward pressure. With this, you should also keep in mind that the jobs number coming on Friday will probably cause a little bit of hesitation, but Wall Street will come up with some type of narrative to push the market higher given enough time.

If they do not, then the Federal Reserve will certainly do what they can to pick the market up as well. It is because of this that I do not short the market anymore, but I will buy puts if we break down below the 4000 level, something that we are not going to see over the next day or two unless there is some type of massive meltdown.

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

About the Author

Being FXEmpire’s analyst since the early days of the website, Chris has over 20 years of experience across various markets and assets – currencies, indices, and commodities. He is a proprietary trader as well trading institutional accounts.

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