S&P 500 Weekly Price Forecast – Stock Markets Get Hit Again
S&P 500 Weekly Technical Analysis
The S&P 500 futures market initially tried to rally during the week but as you can see the 4800 level offered enough resistance to turn things around. By doing so, the market has then fallen down to the bottom of the hammer from the previous week, suggesting that we are getting ready to break through the bottom. If that happens, this could get rather ugly in short order. If we break down below the bottom of the hammer, then I would anticipate that we may make a move all the way down to the 3600 level.
This is an interesting phenomenon to watch, because most Wall Street traders have never lived through a time where they actually had to think their way through the move. After all, the Federal Reserve has always came in and bail everybody out of the last 13 years or so, but now inflation has taken hold and it is likely that the Federal Reserve will remain tight. This is the exact opposite of everything that has been the case for so long, so the markets are essentially shell-shocked. Furthermore, we’re starting to see cracks in the ice when it comes to places like Target and Walmart, talking about their customers. If the US consumer goes, so does the stock market.
The biggest problem we have now is that the Federal Reserve will have to fight inflation in order to get the consumer back up, and therefore stocks are going to be secondary as far as the Federal Reserve is concerned, and quite frankly there have been several statements that they have suggested that they want things to break.
S&P 500 Forecast Video 23.05.22
For a look at all of today’s economic events, check out our economic calendar.