S&P 500 Price Forecast – stock markets take a hammering again

The S&P 500 continues to get hammered, as it seems like Wall Street is trying to come to grips with the idea of global slowing as far as the trade situation between the United States and Chinese is concerned, and of course corporate earnings. Beyond that, the market has to deal with a lot of interest rate hikes, and that is bad for stocks. The market has a down turning 50 EMA on the daily chart now, which of course is the very essence of a downtrend. The 2600 level underneath will continue to be crucial, so pay attention to that level. If we can get some sort of break down below that level, then I think the market would go looking towards the 2500 level. If we were to give that up, we are probably looking at a crash.

S&P 500 Video 21.11.18

I would not be quick to jump in and start buying. We need to see some stability, and I think that quite frankly with the Thanksgiving holiday coming on Thursday, it’s all but impossible for people to step in and put a lot of risk at play. Volume of course is going to be an issue, so keep that in mind as well. This is a marketplace that features a lot of crosswinds right now, and I don’t think that’s changing anytime soon. I have a decidedly negative view on this market, at least for now. Rallies are to be sold.