Stock Market Gets Hit to Kick Off the Week

S&P 500 Technical Analysis

The S&P 500 futures markets have fallen significantly during the trading session on Monday, rolling over almost immediately. We have broken below the 50 Day EMA and sliced through a couple of lows that were formed last week. By doing so, it is possible that we could see a push lower, perhaps reaching the 4400 level where the 200 Day EMA currently sits. If we were to break down below there, then obviously would be a very negative turn of events.

At this point, the S&P 500 looks as if it is at the mercy of the interest rate market, as we have seen a lot of upward pressure on interest rates in America. Every time that happens, the market sells off a little bit further, and it looks as if we are going to see a continued fight between the bond in the stock market. After all, higher interest rates make it less attractive to put money to work in the stock market. Beyond that, I would also point out that the economic situation around the world looks as if it is deteriorating, and that of course will not be good for corporate profits.

If we can turn around and take out the 4500 level on a daily close, then it would be very bullish. I do not see that happening though, and at this point, it is likely that we would see something happen that would be bullish. I do not see it happening though, and quite frankly consumer confidence in the United States has sunk enough to make me think that stocks really will not have much to cheer about anytime soon.

US Stock Market Forecast Video for 12.04.22

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