S&P 500 Price Forecast – Stock Markets Continue to Reach for All-Time Highs Again

The S&P 500 has rallied significantly after initially dipping during the trading session on Wednesday. That being said, we have turned around to see buyers jump into this market and pushed above the 3370 level. At this point in time it is only a matter of time before the market goes looking towards the 3400 level, which is the all-time high. I think it is only a matter of time before we break above there, and when we do the S&P 500 will go looking towards the 3500 level. Short-term pullbacks will continue to offer buying opportunities as the Federal Reserve floods the market with US dollars. As long as that is the case, money managers will be buying “things”, including stocks.

S&P 500 Video 13.08.20

To the downside, I see the 3300 level as being massive support, just as the 3200 level is. The 3200 level underneath is also supported by the 50 day EMA, so I think that will simply be the “floor” of the market. We are in an uptrend for a reason, and that is liquidity. This liquidity continues to be a major driver of the markets as it has been over the last 12 years. Overall, this is a market that will be noisy but is decidedly positive. With that being the case, it is almost impossible to short this market, at least not until we break down below the 3200 level, and that would probably take some doing to change the overall attitude. There is a lot of noise out there, but pay attention to price, because price is truth.

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