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

The S&P 500 has rallied a bit during the course of the trading session on Tuesday as it looks like we are threatening to test the 4500 level. The 4500 level course is a psychologically important level that a lot of people will pay close attention to, so with that in mind it makes a certain amount of sense that it causes a bit of noise. Nonetheless, on pullbacks I believe that there will be plenty of buyers trying to get into the market, as people are waiting to see what comes out of Jackson Hole and whether or not tapering is going to continue to be taught coming out of the Federal Reserve, or if they are going to back down.

S&P 500 Video 25.08.21

As the markets are behaving, it suggests that Wall Street is banking on Jerome Powell coming to the rescue yet again and start talking about on how tapering cannot happen anytime soon. If that is going to be the case, then the market will continue to go much higher. Ultimately, the market has been in an uptrend for quite some time, as the uptrend line has held, right along with the 50 day EMA. Nonetheless, this is a market that I think eventually goes higher for one reason or another, if for no other reason than the fact that it simply does over the longer term.

If we do break above the 4500 level, the market is likely to go looking towards the 4600 level. Pullbacks at this point in time will continue to find plenty of supportive areas, so I have no interest whatsoever in trying to short this market anytime soon.

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