S&P 500 Price Forecast – Stock Markets Continue to Race Towards the Upside

At this point, it should be obvious that the S&P 500 is extraordinarily bullish and has no interest whatsoever in pulling back significantly. The 4500 level should now offer a significant amount of support, which of course is a large, round, psychologically significant figure. At this point time, the market is likely to continue to see a certain amount of buying pressure on dips based upon value. We had been relatively quiet over the last several sessions, but now that we have moved to the upside it suggests that we are going to continue to have buyers on dips and momentum chasers.

S&P 500 Video 27.10.21

As we enter the end of the year, there should be plenty of momentum to the upside going forward, and the occasional pullback will probably be thought of as an opportunity to pick up a bit of value. The 50 day EMA currently sits at the 4429 level and is curling higher. That of course is a good look, and I think it is only a matter of time before we would see it offer support.

Ultimately, this is a market that I think continues to see a lot of value hunting going forward, so I cannot short this market anytime soon. If we do break down below the 50 day EMA, then we more than likely will find even more support at the 4250 handle. Anything under there would be a put buying opportunity, but that would be about it. I do not think that this is a market that can be shorted anytime soon, especially as the Federal Reserve does everything it can to keep the market higher.

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