S&P 500 Price Forecast – stock markets pull back on Thursday
The S&P 500 pulled back a bit during the trading session on Thursday, as we continue the overall bullish attitude, but I recognize that perhaps the market got a little over exuberant during the day on Thursday. The 2900 level underneath should offer support though, as it was so psychologically important. The market got over its front skis a little bit, so here I think we will see buyers come in looking to pick up value. I would anticipate somewhere near the 2905 level to see some buying reenter the marketplace, and I think it’s only a matter of time before we continue to grind higher.
Your capital is at risk
The GDP numbers were healthy, and that should help drive this market higher as well. Overall, I still think that we go to the 3000 level longer term, and it’s only a matter of time before we get there. The 2900 level should be a bit of a “line in the sand” that the buyers will defend. If we were to break down below that level, we may need to reset at lower levels. However, I think that we will more than likely see buyers as earnings have been good, and of course the economic landscape continues to improve with the US making deals with Mexico, and more than likely Canada relatively soon. Overall, this is a market that should continue to find plenty of buyers. It may take a while to get there, but 3000 is still my target.