S&P 500 Price Forecast – Stock Markets Continue to Go Higher

US Stock Market Forecast Video for 14.12.23

S&P 500 Technical Analysis

The S&P 500 rallied slightly during the trading session on Wednesday, as it looks like we are ready to continue going higher. That being said, the Federal Reserve is going to have a major influence as to where we go next, and perhaps more importantly, the way the market anticipates or deciphers the statement and press conference. I don’t necessarily think that the market is likely to continue to see straight bullish pressure, and I think that short-term pullbacks are more likely than not, however I do think that we go higher over the longer term. All things being equal, this is a situation where we are just simply looking for some type of momentum to trade, as we are heading into the holiday season, and of course people are well aware of the “Santa Claus rally” that is quite often the feature of this market.

Pullbacks at this point in time should give you an opportunity to buy what is obviously a very bullish market. The 4550 level underneath is more likely than not going to end up being a major support level, right along with the 50-Day EMA underneath there. With this being the case, the market is likely to continue to see a lot of noisy behavior, and a lot of liquidity issues as we head toward the new year, but at this point in time I think we are going to do everything we can to attempt to break out to a fresh, new all-time high.

Ultimately, I have no interest in shorting this market anytime soon, despite the fact that it is extraordinarily overbought. That being said, as everybody is trying everything, they can to pad their stats heading into the end of the year, which is a common tactic by money managers to reassure their clients. That being said, it is a bit of a “self-fulfilling prophecy” that I have no interest in trying to short the market. With this being the case, I remain bullish but hesitant because I know sooner or later we will get some type of nasty pullback. The Federal Reserve could be the catalyst later in the day on Wednesday, so be aware of that.

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