S&P 500 Weekly Price Forecast – Stock Markets Have Fallen a Week but End on StrengthThe S&P 500 initially pulled back during the course of the week only to show signs of strength yet again. The jobs number of course is a huge disappointment, thereby allowing Wall Street to play the “liquidity game.”
The S&P 500 initially pulled back a bit during the course of the week to reach down towards the 4100 level. The 4100 level has been supportive more than once, and therefore I think it is only a matter of time before buyers come back in, just as we have seen. By rallying the way we have, it looks like we are going to clear the 4200 level finally and continue to go much higher. With that being the case, the market is more than likely going to go looking towards the 4400 level which makes sense as this market does tend to move in 200 point increments.
S&P 500 Video 10.05.21
With the wave liquidity seemingly never-ending, traders will continue to bet on stock markets going higher. I have no interest in shorting this market, and quite frankly never do. The 4000 level underneath is the “floor the market”, so if we were to break down below there then I will be a buyer of puts more than anything else. I have no interest whatsoever in trying to short this market, and therefore I am simply looking for a buying opportunity on pullbacks. All things been equal, the market is likely to continue to see value hunting every time we fall. The market is likely to extend the overall uptrend that we have seen and therefore I think it is only a matter of time before we see higher levels. In fact, with the way the markets are manipulated it is very difficult to imagine a scenario where I could short.
Trading Derivatives carries a high level of risk to your capital and you should only trade with money you can afford to lose. Trading Derivatives may not be suitable for all investors, so please ensure that you fully understand the risks involved, and seek independent advice if necessary. A Product Disclosure Statement (PDS) can be obtained either from this website or on request from our offices and should be considered before entering into a transaction with us. Raw Spread accounts offer spreads from 0.0 pips with a commission charge of USD $3.50 per 100k traded. Standard account offer spreads from 1 pips with no additional commission charges. Spreads on CFD indices start at 0.4 points. The information on this site is not directed at residents in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.
For a look at all of today’s economic events, check out our economic calendar.