The S&P 500 as gone back and forth during the trading session on Thursday, showing quite a bit of volatility after the initial jobless claims were so poor. That being said, we ended up finding some support near the 2450 level, an area that has been important more than once. I also think that there is significant support down to the 2400 level, so as long as we can stay above there it’s likely that we get a little bit of a bounce. The question now is whether or not the jobs number will throw this market into complete disarray.
S&P 500 Video 03.04.20
If the markets were to break down below there, then I think it’s more than likely going to revisit the lows again. Ultimately, if we break above the highs of the trading session on Thursday then we will more than likely go looking towards the 2650 handle above. Above that level, we could go looking towards the 2750 handle, perhaps even the 2850 level. It’s a bit difficult to assume that we are simply going to go higher but, it will be simply a matter of following whatever the market decides to do. Looking at the chart, it’s obvious that we have plenty of volatility ahead of us regardless of the next move. Keep in your position size small is going to be crucial, and something that I cannot stress enough in this environment. The resiliency of the stock market should not be ignored though, as it has been so apparent during the Thursday session.
This article was originally posted on FX Empire
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