S&P 500 Price Forecast – Stock Markets Rally Yet Again

The S&P 500 rallied a bit during the trading session on Wednesday, reaching towards the 3330 level, the recent highs that the market had been repelled from. We have clearly taken back all of the losses from the coronavirus care, and now it looks like this market should continue to find plenty of reasons to go higher. Quite frankly, this is a market that is probably a “buy on the dips” type of situation, and the 50 day EMA as of course come back into play in order to offer support. Ultimately, believe that this is a market that will continue to make fresh, new highs and eventually go looking towards the 3500 level.

S&P 500 Video 06.02.20

While not expecting the type of returns that we had seen during 2019, 2020 should continue to be very bullish, as the overall attitude of market participants continues to be one of positivity. Furthermore, the central banks around the world continue to liquefy the markets, so really at this point it’s almost difficult to imagine a scenario where stock market suddenly lose value unless of course there is some type of financial shock. However, one thing that has been made clear of the last decade or so is that it all comes down to whether or not the Fed is going to be loose with monetary policy. As long as they are, stocks go higher over the longer term. I believe that the 50 day EMA is going to continue to offer dynamic support, and at this point selling isn’t even going to be an option.

Please let us know what you think in the comments below