S&P 500 Price Forecast – Stock Markets Rebound Through Launch Week

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S&P 500 Technical Analysis

The S&P 500 rallied significantly in Monday’s trading session in the E-mini contract to show signs of life again. Remember, we are in the middle of earnings season, so we may see a lot of volatility on top of all the other concerns that have existed due to the global economy seemingly on the verge of collapse. At this point the biggest game in town will be deciding what the Federal Reserve is going to do, so be very careful of any talk from these people, but at this point the perception is that we may be seeing some relief .

I wouldn’t hold my breath for this, and although it’s a nice bounce, when you look at the chart you can clearly see that we’re still in a downtrend, and I think that will continue to be the case towards the front. The 50-day EMA currently sits at the 3844 level and is dropping significantly to give us a potential soft top.

That of course assumes that we can get close to it, which I don’t think you can necessarily count on. Ultimately, this is a market that will continue to be more of a fade the rally type market as there is no real reason to believe that risk appetite will suddenly explode. That said, it should also be noted that the rallies that occur in a bear market can be quite compelling and vicious. At this point, I’ll be looking for signs of exhaustion to start shorting again.

Video of the US stock market forecast from 18.10.22

For an overview of all of today’s economic events, check out our economic calendar.

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