S&P 500 Weekly Price Forecast – S&P 500 continues to march higher
The S&P 500 continues to grind higher, as we approach the vital 2880 handle. This is an area that I think is going to be very difficult to overcome, and quite frankly we don’t have the momentum to do so quite yet from what I can see. Ultimately, if we pull back I think that there will be willing to jump in and buy this market. The 2800 level underneath is what I believe is the “floor” in the market, and I also believe that the market is in bit of an up trending channel. Because of this, I’m not willing to sell this market, I am looking to buy dips underneath, especially near the 2800 level. This is a market that has plenty of support at that level, not only because of the round figure in the previous high, but also the fact that we formed a hammer just the previous week.
Your capital is at risk
If we were to break above the 2900 level, the market should then go to the 3000 handle. That of course is going to be a major figure to deal with, but at this point it looks as if the market is hell-bent on trying to get there. I think at this point, the market is likely to continue an upward slope, but we certainly need some type of pullback to build up the necessary momentum to continue going higher.