S&P 500 Weekly Price Forecast – stock markets continue to impress

The S&P 500 pulled back a bit during the week, especially on Wednesday after the Federal Reserve crush the idea of a potential rate cut this year. That being the case, we reached down to the vital 2900 level before rallying enough to form a hammer. At this point, it’s obvious that the 2900 level is support and I believe it is about 10 points thick. In other words, as long as we stay above the 2890 handle, then I think that the market will continue to find buyers. I think it’s more likely that we break out to the upside and continue the uptrend and go looking towards the 3000 level which is a level that most people are looking for.

S&P 500 Video 06.05.19

A market that is this resilient can’t be shorted, at least not anytime soon as we have seen so much in the way of pain from the selling side. Ultimately, you can’t fight the Fed, and you certainly can’t fight the market. That’s essentially what we are looking at right now so I fully anticipate seeing the 3000 level test it. I also expect to see a lot of selling in that area, followed by a pullback that probably will be taken advantage of. The way this market has been going you simply can’t short it yet. However, a break below the 2890 level could lead to a drop down to the 2800 level so keep that in mind. Expect volatility, but longer-term traders have made quite a bit of money to the upside.

Please let us know what you think in the comments below