S&P 500 Price Forecast – Quiet and Thin Trading Keeps S&P 500 Stuck

US Stock Market Forecast Video for 28.11.22

S&P 500 Technical Analysis

The S&P 500 E-mini contract did very little during the trading session on Friday, as most American traders were focused on Thanksgiving and the day after more than anything else. At this point, the market is threatened in a downtrend line, which obviously will have a lot to do with where we go next. If we can break above the downtrend line, then it’s likely that the market goes looking to the 4200 level.

Underneath, the 200-Day EMA is offering a bit of support, so if we were to break down below it the market could go looking to the 3950 level. The 3950 level has been important multiple times, so break down below that opens up a move down to the 50-Day EMA.

Quite frankly, most of what happens in the next several days will have to do with the Federal Reserve, and on what people think they are going to do. The jobs number on Friday will probably have a major influence as well, so the next couple of days may be a bit of choppy and sideways action. There are a lot of people out there that believe the Federal Reserve is going to slow down its rate hike cycle, but they are going to stay tight for quite some time so we are at a major inflection point, which will have to be settled rather soon.

If we were to see this market get some type of move, could be part of the Santa Claus rally that a lot of traders look for at the end of the year, as money managers try to pad their books.

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