S&P 500 Price Forecast – Stock Markets Pulled Back Slightly to Kickoff Week
US Stock Market Forecast Video for 23.05.23
S&P 500 Technical Analysis
The S&P 500 pulled back just a bit during the trading session on Monday, showing signs of exhaustion after a nice run higher. The 4200 level continues to be important, and at this point, the market is trying to get to the 4300 level. However, keep in mind that we have a lot of things going on simultaneously, and therefore it will probably make the markets very noisy. That’s not a huge surprise, considering how much could go wrong at the moment, and of course, the fact that we have so many geopolitical concerns at the same time, it just sets up a mess. At this point though, it’s obvious that there is a lot of interest out there in buying dips and it’s probably worth noting that the 50-Day E MA is starting to curl higher.
At this point in time, I am a little bit hesitant to get into a big position, and therefore I think you probably have to look at this as a more back-and-forth market, and this will be especially true as we head into the summer. Regardless, I’m not overly bullish but I certainly understand that it’s going to be difficult to short this market, as it continues to fight any signs of gravity. In other words, if you are a short-term and nimble trader, you can probably continue to buy dips in this market, but I would not be a huge buyer of the market, at least not in any decent size.
Keep in mind that the Federal Reserve remains tight, so I do think that even if we break out to the upside, it is probably somewhat limited. Getting above 4300 would be difficult, but if we did do that, then it’s possible that we could go higher. On a break down below the 200-Day EMA, then it’s very possible that this market could drop to the 4000 level, possibly even down to the 3800 level after that. Either way, this is a market that looks more bullish than bearish, but it also looks as if it is a bit confused.
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