S&P 500 Price Forecast – Stock markets continue to press resistance
The S&P 500 initially pulled back a bit during the trading session on Thursday but continues to see a lot of buying pressure to reach towards the 2800 level. At this point, if we can break above the 2820 level, then the market will break out significantly. It’s obvious that there are buyers underneath so pullbacks are thought of as a short-term buying opportunities. At this point, if we can break out above the Monday hi, that is a great proxy for busting through resistance.
S&P 500 Video 01.03.19
However, if we take out the bottom of the Wednesday candle stick, then we will break down and reach towards the 2775 handle, possibly the 2750 handle. At this point, the market is trying to break out to the upside, so pay attention to any impulsive candles that we see to the upside. However, an impulsive candle stick to the downside is a very negative sign as well.
Your capital is at risk
Looking at this chart, it’s obvious that we need to make some type of impulsive move to start putting a lot of money to work. At this point, it’s literally a 50-50 shot as to where we go next. It does look like tenacity continues to push higher, but until we get clarity a sudden headline could turn things back around on you, so of course caution will be needed. At this point, I put the odds of a move higher at about 60%, which isn’t enough to put money to work. I am currently on the sidelines and letting the market tell me what’s next.
Please let us know what you think in the comments below