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

US Stock Market Forecast Video for 29.03.23

S&P 500 Technical Analysis

The S&P 500 has had a rather quiet trading session on Tuesday as we continue to hang around the 4000 level. The 50-Day EMA is here as well, right along with the 200-Day EMA. The market continues to look for some type of catalyst to get moving, because quite frankly we are stuck between 2 realities. The economy is falling apart in the United States, but at the same time Wall Street still believes that the Federal Reserve is going to come and bail them all out. In other words, the market continues to see both positive and negative spin and seems to be somewhat frozen.

At this point, the 3900 level underneath should be thought of as significant support, while the 4100 level above could offer a sign of significant resistance. The market rallying above the 4100 level would open up the possibility of a move to the 4200 level. If we do break above there, then it would obviously be a major bullish sign, and could send this market racing to the upside. On the other hand, if we turn around and break down below the 3900 level, then we could send the market down to the 3800 level. Anything below there would be extraordinarily negative and send the market much lower.

However, it looks as if we are stuck in roughly 200 points worth of consolidation, and now that we have the 50-Day EMA and the 200-Day EMA going sideways, suggesting that the market has no real interest in making a big movie the way. As there seems to be a lackluster movement, then it suggests that you should be looking at this through the prism of a range bound market, using a range bound type of trading system, perhaps something using the stochastic oscillator. Ultimately, we need to see some type of fundamental reason to get moving, and as we have the blackout period coming soon, meaning that companies will not be able to buy back their own stock in order to lift prices. Furthermore, it’s likely that earnings season is going to be ugly, but that’s a few weeks down the road.

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