S&P 500 Price Forecast – stock markets pressing major resistance

The S&P 500 has shown quite a bit of a proclivity to go higher over the last several weeks, but now we find ourselves pressing a major resistance barrier. The 2800 level has been a bit of a trouble time, so I do think that we will probably find plenty of sellers appear. Quite frankly, the meeting minutes need to impress the markets in order to send them much higher. Overall, if the US/China trade relations disappoint, that could send the market lower as well. However, if the Americans and the Chinese get something good going, at least in the form of an actual agreement, then we could go much higher.

S&P 500 Video 21.02.19

Looking at this chart, I think that the 2700 level will be supportive though, especially considering that the 200 day EMA is sitting just in that area. Even if we break out to the upside, don’t be surprised if we need to pullback in order to build up the necessary momentum to go higher. After all, this rally has been rather relentless. A break down below the 2700 level would be very negative indeed, and probably send this market much lower. We are deafly at the precipice, so sitting on the sidelines for the next 24 hours might be the best move you can do, something that’s been the case for at least a couple of days now.

Please let us know what you think in the comments below