S&P 500 Prices Forecast – Stock Market Pulls Back

S&P 500 Technical Analysis

The S&P 500 has pulled back just a bit during the trading session on Monday, as we have seen a lot of volatility as of late. Furthermore, we have to worry about the Wednesday session, as the Federal Reserve has an interest rate meeting on Wednesday, there would be a lot of volatility and noise in that general vicinity.

The S&P 500 and market participants will be paying close attention to the statement on Wednesday, because people are starting to figure out whether or not the Federal Reserve is going to continue to tighten monetary policy or if they are going to slow down. There’s a lot of hope out there that they would slow down, but really this point there’s no reason for that to happen.

Underneath, the 50-Day EMA continues to show signs of importance in the market, and it should now offer a significant amount of support. Ultimately, this is a market that I think continues to be very noisy, and will pay close attention to the 3800 level, which is an area that had caused significant resistance, so if there is market memory in that area it should not be a huge surprise.

The market continues to see a lot of noisy behavior and I think that once we get closer to that statement at the end of the day on Wednesday, there will be a lot of back-and-forth trading as people try to figure out whether or not Jerome Powell is going to slow down the pace of hikes. Quite frankly, I don’t think he will and I believe that it’s likely we could see a lot of disappointment.

US Stock Market Forecast Video for 01.11.22

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