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S&P 500 Price Forecast – Stock markets are Quiet again

Christopher Lewis

The S&P 500 went back and forth during the trading session on Tuesday, as we are simply looking for some type of reason to put money to work. Quite frankly, it’s all about the Federal Reserve right now and we know that they are going to cut interest rates so there isn’t much in the way of a catalyst. True, we are beginning earnings season but quite frankly at this point one should be aware of the fact that the stock market has nothing to do with earnings or anything related to the economy at all anymore. It is simply about the Federal Reserve and quantitative easing overall. The disconnect has been in effect for several years, at least since the “great recession.”

S&P 500 Video 17.07.19

With that being the case, we are in and uptrend and as long as the Federal Reserve looks to be dovish, I suspect that will remain the case. I like the idea of buying dips and I look at the 3000 handle as a major support level. Below there we have the 2950 level offering massive support as there is a gap there and it’s clearly marked on the chart. Either way, I think that you should be looking for value at lower levels, but patients may be needed in order to get that. Some type of hammer or anything along the lines of that could be used as a buying opportunity. At this point I suspect that we are going to try to grind to the 3050 handle, but it’s going to take some momentum building in order to get there.

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This article was originally posted on FX Empire