S&P 500 Price Forecast – US stocks take a beating on Thursday

US stock markets got a kick to the face on Thursday as we continue to see a lot of volatility in the financial markets. Perhaps it was fear of turmoil in the White House, perhaps it was fear of the Chinese/US trade spat, maybe it has something to do with the United States and Canada not coming to an agreement quick enough, or perhaps it’s just the fact that the jobs number comes out will greatly influence where the perceived demand is. We have pierced the $2.77 level, but have bounced since then. I think that the market will probablye S&P 500 broke down rather significantly during the trading session on Thursday, as at roughly 11 AM New York time, panic entered the market and we broke through major support levels. At this point, I don’t know that the market has been any different than it has been for several days, but it’s obvious to me that the market participants are most certainly nervous at this point. With today being the jobs number in the United States, I’m sure the volatility is only going to get worse. Quite frankly I wouldn’t be involved in this market until we get that report and perhaps wait until Monday after the reaction. I think this is a market that can be extraordinarily dangerous right now.

If you are going to trade the S&P 500, by all means do it in the CFD market. Do not do it in the futures market as you will find yourself hurting rather quickly. In this type of environment, almost anything can happen as there is a certain amount of machine trading that will be causing this, and of course a complete lack of self-control by the average trader. With that in mind, be very cautious but recognize that we could be looking at the beginning of something rather ugly.

S&P 500 Video 07.09.18