Yahoo Finance S&P 500 Price Forecast – Trend Line Holds Again
US Stock Market Forecast Video for 26.01.23
S&P 500 Technical Analysis
The S&P 500 E-mini contract has been negative during the day on Wednesday as the trendline that had been important previously continues to have an effect on the markets. Ultimately, I think this is a situation where traders will have to look at this through the prism of whether or not a earnings season is going to put a beating on the S&P 500. Microsoft gave poor guidance during the conference call, and that certainly has not helped the situation.
We broke below the 200-Day EMA, but quite frankly that’s an indicator that has been sliced through a couple of times already, so it’s difficult to imagine that it would be a major event at this point. The 50-Day EMA has been a bit more stable as of late, and sits at 3933. This could be where we are heading given enough time, but we will have to see. Breaking down below that obviously would be negative, threatening the 3900 level, which opens up the next cluster. After that, we have the 3800 level, which is a massive support level.
On the upside, if we can clear the highs of the last couple of days, then we very well could have a rather big move just waiting to happen. With this, I believe that you would probably have a situation where market participants would jump “all in” and try to push the contract towards the 4200 level as FOMO would almost certainly be kicking in at that point. The only thing you can count on is a lot of noise due to the fact that we are in the midst of earnings season.
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This article was originally posted on FX Empire
