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

US Stock Market Forecast Video for 24.07.23

S&P 500 Technical Analysis

The S&P 500 has rallied during the trading session on Friday, as it looks like we are continuing to see a bit of back-and-forth on the way to the upside. We have been trading in a bit of a channel for a while, but I think that traders need to continue to look at this through the prism of the value going forward. The market pulling back toward the 4500 level opens up the possibility of value hunters jumping into this market, and therefore I think if we see plenty of opportunities every time the S&P 500 shows a bit of exhaustion.

What’s worth noting is that there were almost no earnings calls of importance during the day, so therefore it does make a certain amount of sense of the S&P 500 was relatively quiet. Alternatively, I think the market goes looking toward the 4700 level, but obviously we will see the occasional pullback on the way higher. After all, markets don’t go in one direction forever and of course there are a lot of concerns when it comes to the economy. However, Wall Street is good at one thing, and that is selling stocks.

Remember, the index is not 500 stocks, rather it is about 8 stocks that move most of the market, and therefore, you need to pay attention to all the biggest names. With a severe lack of earnings noise out there, it makes sense that the market drifts a little bit higher. That being said, I also recognize that we have a scenario where the market will continue to be noisy and of course pay close attention to the idea as to what the Federal Reserve is doing, but Wall Street is strongly pushing the whole “AI narrative”, and I think that continues to be the case going forward.

With that being said, I’m not interested in shorting the S&P 500 anytime soon, at least not until we break down below the 50-Day EMA, which seems to be miles underneath. With that, it’s just a matter of buying on the dip going forward as the same pattern emerges yet again.

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