S&P 500 Price Forecast – Stock markets continue to press higher

The S&P 500 rallied significantly during the trading session on Friday after the jobs number came out. We are pressing the highs again, and therefore it’s interesting to see whether or not we can break out to a fresh, new high, but I don’t think it happens right away. This is a market that continues to churn as we are in the middle of earnings season, but we also have recent news coming out of the Federal Reserve that we are looking at a scenario where a rate cut is very unlikely. There were some people expecting that, and that was why we had seen the market fall off a couple of days ago. However, we have recovered that and therefore it looks as if we will eventually build up the necessary momentum.

S&P 500 Video 06.05.19

The 2900 level underneath extends down to the 2890 level, for a major support level. I believe that holds, and the candlestick pattern right now does look like we are likely to see more buying. The 3000 level will be targeted, as pretty much everybody on Wall Street is looking for it. With that being the case it’s likely that we are going to see buyers jump into this market on short-term dips. In fact, that’s the entire trade to me, buying the dips going a long and taking profits at the first signs of exhaustion. However, if we were to break down below the 2890 level, the market will have likely change this attitude for the short term and we could go much lower.

Please let us know what you think in the comments below