S&P 500 Price Forecast – S&P 500 Continues to Look Toward The FOMC Meeting

S&P 500 Technical Analysis

It currently looks as if the S&P 500 is just sitting around the 50 day EMA trying to sort out where to go next. The question that we have at this point is whether or not we are going to continue going higher, or if this ends up being a lower high regardless. That being said, it is worth noting that the stock index isn’t an equal weighted index, and therefore it is likely that as long as the top ten stocks have interest, this index will remain somewhat strong.

I wouldn’t be overly aggressive on any short trade. I think at this point we are more likely than not to go to see the market. Look at the 5000 level underneath being that floor in the market, if you will. So really, at this point, I think you’ve got a situation where even if we do pull back, it’s not necessarily the end of the world.

Keep in mind that the FOMC meeting is on Wednesday, and that, of course, will have major implications for risk appetite. And I should say it’s probably more so, about the press conference. But if we do break higher than 5300 is a very real target. And I feel comfortable thinking that we probably get there sooner rather than later.

If we were to break down below the recent swing low near the 4950 area, then we could break down to the 200 day EMA, which honestly probably only brings in more buying. So, with that being said, the market has been so resilient, it’s really hard to fight the massive uptrend.

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