The S&P 500 is rallying significantly during the week again, showing that we are at all-time highs yet again. Ultimately, this is a market that should find plenty of buyers underneath, especially near the $3250 level, an area that will attract a lot of attention. There is an uptrend line that you should be paying attention to as well, which has been very reliable. I think at this point it’s likely that we will continue to see buyers on dips as the S&P 500 is also functioning as a bit of a safety play. Ultimately, this is a market that should find plenty of buyers, as the 50 week EMA is breaking above the 3000 handle. Ultimately, this is a market that I think will find plenty of reasons to have buyers jump in, but if we were to break down below the 50 week EMA, things get ugly. At this point though, it’s obvious that the Federal Reserve is going to be supporting the market and therefore I think the market only continues to go higher.
S&P 500 Video 17.02.20
To the upside I have a target of 3500 and I think we get there rather quickly, quite frankly a lot quicker than I thought we were going to. Nonetheless, that seems to be the market we are working with. If we get good news out of China, that will only push the S&P 500 higher, as it froze more “risk on” into the marketplace. When you look at the chart, the last 20 or so candles were agreeing with the exception of three. That’s really all you need to know.
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This article was originally posted on FX Empire
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