S&P 500 Price Forecast – Stock Markets Recover Again to Test 200 Day EMA

The S&P 500 rallied a bit during the trading session on Wednesday, reaching towards the 200 day EMA yet again. The 3100 level above is resistance and if we can break above that level it’s likely that we can continue to go higher. A good sign, and therefore I think something that the market will be paying attention to and waiting to see happen. However, if we pull back from here, we could reach towards the 3000 handle, and a break down below there could reach down towards the 2900 level. At this point, there are a lot of questions as to what the rest of the world is going to be doing and what is going on with global growth. At this point I think it’s likely that we continue to see a lot of choppiness to say the least.

S&P 500 Video 05.03.20

At this point, I think we are trying to build some type of range, which I see as the bottom being closer to the 2900 level, and then the 3100 level. I think we trade back and forth in that general vicinity and therefore it is probably only a matter of time before we get some type of larger range show itself. At this point though, I think we are waiting to see what happens next with the Federal Reserve and of course the coronavirus. In other words, it’s probably going to be a range bound type of market that you can trade back and forth, but if we do break above these levels or below them, then it’s going to be much larger in the way of a move.