S&P 500 rallies on Monday

The S&P 500 has rallied a bit during the trading session on Monday, reaching towards the 2750 level above. I think that short-term pullbacks continue to be buying opportunities, as we have made a fresh, new high. Beyond that, the jobs number on Friday was very strong so that should have people looking towards the S&P 500 in general. I think that the 2700 level underneath continues to be a bit of a “floor” in the market, and I believe that we are getting ready to reach towards the 2800 level above. This move has been very strong, and I think it will have a certain amount of follow-through due to the jobs number.

Pay attention to talks about North Korea and of course trade wars, because those will obviously have a significant influence on the S&P 500. The US dollar is starting to soften a bit after being so strong, and that should help the idea of stocks rallying as well. I believe that we are going to the 2800 level in the short term, and perhaps longer term we are looking towards the 3000 handle. If we break down below the 2700 level, that could send the market down to the 2675 level, perhaps even beyond that. However, I currently believe that “buying the dips” should continue to be best way to play this market, perhaps adding slowly every time we get a fresh, new high.

S&P 500 Video 05.06.18