S&P 500 Price Forecast – Stock Markets Quiet on Tuesday

The S&P 500 has gone back and forth during the trading session in a rather tight range. Quite frankly, the market looks as if it does not have anywhere to be and therefore there is no point in trying to put a lot of money to work at this juncture. If we can break above the 4200 level though, that would obviously be a continuation of the bullish momentum that we had seen, so I think at this point that is the most likely of set up. However, if we were to pull back towards the 50 day EMA and bounce again that could be a nice buying opportunity as well, especially with the gap and the 4000 level sitting just below it.

S&P 500 Video 19.05.21

Regardless, we are in an uptrend and there is no point in trying to fight it. Yes, we have seen a little bit of negativity as of late, but we have multiple times over the last 13 years, and every time we fall there seems to be willing participants to jump into the market and take advantage of “cheap prices.” All things been equal, this is a market that I do think eventually hits higher levels again, and therefore I have no interest in shorting. That being said, if we were to break down below the 4000 level, I might be convinced to start buying puts as we would more than likely go looking towards the 200 day EMA.

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