S&P 500 Price Forecast – Stock Markets See Same Photo

The S&P 500 pulled back from a familiar area, as the 3200 level continues to attract a lot of attention. This has formed a little bit of a “double top, so therefore it is worth paying attention to. I think that this is a market that will eventually break out to the upside but as we are in the middle of earnings season and of course everybody is glued to their monitor when it comes to the coronavirus, it is obvious that we will have the occasional bounce of volatility. That being said, the market is likely to be very noisy, but it still has its general upward bias.

S&P 500 Video 17.07.20

If we can break above the highs of the last couple of days, this market will take off to the upside and I do think that is exactly what will happen over the longer term. We have formed a bit of a “W pattern”, so we really just need some type of catalyst at this point to send the market into overdrive. The 50 day EMA underneath continues offer a lot of support so I think that the traders will continue to pay attention to that as it is such a widely followed technical indicator. Because of this, I think that the “buy on the dips” mentality continues, and it is only a matter of time before we see some type of an attempt to recover on any dips. Earnings season is always an adventure, but at the end of the day it comes down to the Federal Reserve.

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