S&P 500 Weekly Price Forecast – Stock market continues to grind higher

The S&P 500 rallied during the week but it’s struggling a bit to break out to the upside. Ultimately, this is a market that continues to go back and forth so it’s difficult to have a larger move in this type of environment. However, if we can clear the 2950 handle, it’s likely that we will continue to go higher and reach towards the 3000 level. That of course is a psychologically important figure, so keep in mind that there will be a huge fight. If we were to break above there, then we are in somewhat uncharted territory.

S&P 500 Video 29.04.19

On the other side, if we break down below the 2890 level, we could break down towards the 2800 level over the longer-term. This is a market that has got ahead of itself at least as far as I can see, and it’s all about the Federal Reserve. Ultimately, this is a market that is still bullish, but is stretched a bit too far to the upside from what I believe. The US dollar is starting to strengthen, and that of course will have traders worried about taken on risk internationally.

Overall, I think that once we get through earnings season it’ll be interesting to see where we go. I have a couple of levels that I’m paying attention to for a longer-term trade, as mentioned previously. This situation is one that needs a lot of clarity, something that we don’t have quite yet. Yes, it’s been a green candle for the week, but we still have yet to break out.

Please let us know what you think in the comments below