S&P 500 Price Forecast – Stock Markets Look Skittish

US Stock Market Forecast Video for 29.11.22

S&P 500 Technical Analysis

The S&P 500 has fallen a bit during the trading session on Monday, as we continue to struggle with not only the 200-Day EMA, but also the major downtrend line that I have marked on the chart. It’s worth noting that we are hanging about the 4000 level, which is an area that people will think is important from a psychology standpoint.

Keep in mind that there are a lot of concerns about a recession and a lack of earnings, which is almost certainly going to be a major problem. If we break down below the 4000 level, we could see this market try to go back down to the 3900 level, an area that has previously been supported. Breaking down below there opens up the possibility of a move down to the 50-Day EMA, which is currently at the 3886 level. Anything below there could resume the longer-term downtrend with a bit of aggression.

On the other side of the equation, if we were to turn around and take off to the upside, meaning that we cleared the daily downtrend line on a daily candlestick, then it is possible that we could see this market try to go to the 4150 level, followed by the 4200 level. Nonetheless, I think the one thing you can probably count on is a lot of choppiness and noisy behavior, as we try to sort out where we are going for the rest of the year. Furthermore, there is a natural tendency to buy stocks at the end of the year by money managers in order to show clients that they are holding on to the correct assets. However, the Federal Reserve meeting in December is going to overshadow almost everything.

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