S&P 500 Price Forecast – The Stock Market Awaits Jobs Figures

The S&P 500 did almost nothing during the trading session on Wednesday as we continue to wait on the jobs figure coming out Friday. All things been equal, you should keep in mind that this is the height of vacation season for most bankers, so quite frankly there are not that many people at work. In other words, liquidity will drop, and very little interest will be paid to the markets of the next few days. After we get through the Friday jobs number, and perhaps get into the next week, then we may have the possibility of making a bigger trade.

S&P 500 Video 02.09.21

As things stand right now, it looks as if any type of pullback should be a buying opportunity, with the uptrend line and the 50 day EMA should offer plenty of support. Quite frankly, as long as we stay above there, I am only a buyer of dips, and therefore am looking for this market to go higher over the longer term. The 4500 level being broken to the upside of course is a bullish sign, and then of course the 4600 level I think would be your next target as the market tends to move in 200 point increments.

Regardless, if we were to break down below the 50 day EMA, then the market is likely to go lower and then perhaps even roll over a bit. I would be very cautious about shorting, but I might be convinced to start buying puts as the market would go looking towards the 200 day EMA. In general, this is a market that I think continues to grind higher despite the fact that there are so many concerns.

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