S&P 500 Weekly Price Forecast – Stock Markets Look Ready to Break Out Again

US Stock Market Forecast Video for 22-01-2024

S&P 500 Weekly Technical Analysis

The S&P 500 initially pulled back just a bit during the trading week but continues to find plenty of support near the 4700 level. On the other hand, we have turned around to reach the 4800 level again and if we can break about the top of the candlestick for the week then I think we continue to go much higher. Ultimately, I think most traders on Wall Street believe the same so therefore it will become a bit of a self-fulfilling prophecy.

In general, this is a situation where I do think that given enough time we do break out, the markets continue to run like crazy based on the idea that the Federal Reserve is going to come and liquefy everything and therefore loosen monetary policy, saving Wall Street yet again. At this point, it looks like we are building up the necessary pressure to finally break out to a fresh new high, and the candlestick for the week certainly suggests that it will happen. The momentum in the market is a real thing that must be appreciated.

I think that the S&P 500 is going to go looking to reach the 4900 level and then eventually go looking to reach the 5000 level, which of course, is a large, round figure and a huge number that will attract a lot of attention. If we were to turn around and break down below the 4700 level, then it’s likely that we go looking to the 4600 level followed by the 4500 level, which I think is your floor in the market right now.

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