The S&P 500 E-mini contract did very little during the trading session on Christmas Eve, as one would expect. Once the traders get back from Christmas, it will probably be very quiet as well, but I think ultimately this is a market that will offer an opportunity to pick up a bit of value at lower levels. I believe that the 3200 level could be supportive, just as the 3150 level could be. The 50 day EMA underneath is also going to offer support, and I think that longer-term market players will continue to look at this as a market that they can jump into.
S&P 500 Video 26.12.19
All things being equal, I believe that the Federal Reserve will continue to liquefy the markets every time they have to, and it’s very likely that the markets are going to continue to bank on this. We are in a longer term uptrend, it’s very likely that we will continue to see that extend into January 2020. The next couple of days after Christmas will probably be very quiet and somewhat lacking emphasis, but eventually we could see the market break well above the 3250 level, and then eventually the 3300 level after that. I have no interest in shorting the stock markets, because quite frankly every time we do sell off a bit, value hunters come back in and start taking advantage of perceived value, something that has happened repeatedly over the last several years.
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This article was originally posted on FX Empire
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