FXEMPIRE
All
Ad
Corona Virus
Stay Safe, FollowGuidance
World
31,240,317Confirmed
965,068Deaths
22,835,563Recovered
Fetching Location Data…
Advertisement
Advertisement
Christopher Lewis
S&P 500

The S&P 500 has clearly shown itself to be struggling to get above the 3420 level, and it is not until Jerome Powell signals the “all clear” for liquidity that people will jump in hand over fist would be my guess. If we can break above the highs of last week, it is very likely that this market will continue to go towards the 3600 level. It is going to take some time to get there obviously, but at this point it appears that the market is trying to build some type of base underneath. The 50 day EMA should offer support, so if we were to break down below there then we will more than likely test the 3300 level, and then perhaps the 3200 level. Ultimately, this is a market that I am not overly concerned with yet, but it certainly must be said that we are not like we are ready to take off right away.

S&P 500 Video 17.09.20

I think at this point it should become apparent that the market need some type of catalyst to move up or down, it may simply be a tantrum that Wall Street throws after the press conference. That money have the market breaking down, but at the end of the day the uptrend is not threatened until we break down below the 200 day EMA. I think there are plenty of reasons to suspect that this will eventually be a “buy on the dips” opportunity, mainly because the Federal Reserve will not allow the markets to behave with extreme amounts of volatility. They have proven this time and time again and there is no reason to think it is going to change anytime soon.

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

Advertisement
Don't miss a thing!
Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Latest Articles

See All

Expand Your Knowledge

See All

Trade With A Regulated Broker

  • Your capital is at risk