S&P 500 Price Forecast – Stock Markets Running Out of Momentum

S&P 500 Technical Analysis

The S&P 500 E-mini contract has gone back and forth during the trading session on Thursday as it looks like momentum is starting to drift a bit. At this point, the market is likely to continue to see a lot of questions asked about the potential direction of the stock market, as we ended up forming a massive shooting star during the previous session. If we break back down below the 50-Day EMA, then it’s likely that we will continue to drift lower, and continue the overall long-term downtrend. At that point, I would expect to lose 3800 and go looking toward the 3600 level.

On the other hand, if we were to break above the top of the shooting star from the Wednesday session, then it’s likely that we will continue to see the upside tested toward the 4000 level.

The market is more likely than not going to be noisy regardless of what happens next, but at the end of the day I do think that it’s a situation where you are looking for shorting opportunities as the Federal Reserve will have to continue to tighten monetary policy, and of course there is the possibility that the market may get a shock next week as the Federal Reserve comes back into the picture with its monetary policy statement and of course the press conference afterward.

Wall Street still is stuck on the idea of the Federal Reserve saving it, even though the Federal Reserve has explicitly said multiple times that it wants lower stock prices and wants to destroy demand.

US Stock Market Forecast Video for 28.10.22

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