S&P 500 Technical Analysis
The S&P 500 has been all over the place during trading on Wednesday, as we have gotten hotter than anticipated inflation numbers in the United States. This does suggest that we are in fact going to continue to see a lot of uncertainty out there, and therefore it’s likely that we will see a lot of volatility, which is nothing new in this market. After all, the market is likely to continue to see questions about where we are going next, especially as the market recovered quite nicely.
The 4000 level above is a major resistance barrier, especially with the 50 Day EMA breaking below it and grinding lower. Ultimately, this is a market that I think continues to see a lot of concern, as the market is most decidedly negative. Ultimately, we can break it down below the 3750 level. Ultimately, this is a market that I think continues to see a lot of downward pressure, opening up the possibility of a move down to the lows near the $3637 level. If we break down below there, then the market is going to fall apart.
Alternately, if we break above the 4000 level, then it’s possible that we could go looking to reach the 4200 level. The 4200 level is an area that I think will pay close attention to, because I believe that it could open up the opportunity for the market to completely recover. I don’t see that happening though, despite the fact that Wall Street will almost certainly come up with some type of narrative to push things higher eventually.
US Stock Market Forecast Video for 14.07.22
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This article was originally posted on FX Empire