S&P 500 Price Forecast – Stock Markets Get Hammered on Tuesday

The S&P 500 fell during a majority of the trading session on Tuesday, reaching down towards the 3020 level before finding a little bit of support. Ultimately, this is a market that I think continues to see a lot of issues, but at the end of the day the only thing that truly matters is that the Federal Reserve is there to bail everybody out. If that is going to be the case, then the market is likely to see rallies.

The 50 day EMA sits right at the 3000 level, and I think that is essentially the short term “floor” in the market. As soon as the Europeans when home, we started to see buyers show back out, but it is a little early to say that they are going to recover the losses right away. All things being equal though, I fully anticipate the session on Thursday being positive, and I would not be surprised at all if they ended up being rather strong.

S&P 500 Video 25.06.20

It is all about fed liquidity, and nothing else. Earnings do not matter, economic numbers do not matter, and headlines that spook the market only end up being buying opportunities. Yes, I realize this is dangerous thinking, but it is the thinking of the market right now and that is what you have keep in mind. It does not matter whether it makes sense or not, because in the end “price is truth.” I know a lot of macro fundamentalists that have been losing money for 12 years.

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