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S&P Forecast – S&P 500 Continues to Look For Higher Levels

By:
Christopher Lewis
Updated: Jun 17, 2024, 19:14 GMT+00:00

The S&P 500 continues to look for higher levels over the long term, but at this point it is worth noting that we have a lot of buyers underneath at this level. We have seen a few attempts to break down, that have all been met by buyers.

In this article:

S&P 500 Technical Analysis

The S&P 500 was very quiet during the early hours on Monday, which is not a huge surprise considering we are hanging around the all-time highs. But what’s most worth noticing about this market is that every time we pull back, there seem to be buyers willing to pick up the contract. This of course has a lot to do with the fact that it’s not an equal weighted index, so it only takes a few stocks out there to really get this thing moving.

When I look at the technical analysis, it’s obvious to me that the 5300 level is an area that is very important, as it is also an area that previously had been extraordinarily resistant. At this point in time the market is likely to continue to see plenty of value hunters out on dips and I think that the 5500 level above is a potential target. After all, when we open up on Monday in New York trading we are only going to be about 60 points away from there.

Whether or not we can break above 5,500 remains to be seen, but I would suspect that we will, quite frankly, if for no other reason than the fact that the market is so momentum driven. So, with this, I think we will continue to see plenty of buyers, and I have no interest in shorting. The market also has the 50-day EMA racing towards the 5,300 level, so I think that just adds more credence to that area as a major support area in this index.

For a look at all of today’s economic events, check out our economic calendar.

About the Author

Being FXEmpire’s analyst since the early days of the website, Chris has over 20 years of experience across various markets and assets – currencies, indices, and commodities. He is a proprietary trader as well trading institutional accounts.

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