Yahoo Finance S&P 500 Weekly Price Forecast – Stock Markets Continue to Put Up a Fight
S&P 500 Weekly Technical Analysis
The S&P 500 has fallen rather significantly during the week, but it’s worth noting that the last three candlesticks have been hammers, and that does suggest that we are very close to seeing some type of balance, perhaps even a breakout to show signs of life. That being said, I think the market is more likely than not going to be a scenario where we will find a bit of a short-term recovery, and then perhaps an attempt to get the 4200 level tested. The 4200 level is an area that has been significant resistance as well, so if we could take that level out, then it would change the overall trend.
On the other hand, if we were to turn around and break down below the 3640 level, and by extension the 200 day EMA, then it’s likely that this market breaks down quite drastically. All things being equal, I believe this is a market that is a little oversold, so a short-term bounce makes a certain amount of sense. Keep in mind that we are heading headfirst into the earnings season, so therefore you need to pay close attention to pre-market volatility, but I also believe that the market is going to continue to be choppy and noisy, and also have to worry about the fact that we are almost certainly heading into a recession, despite the fact that certain people on Wall Street would have you believe otherwise.
Ultimately, I think fading rallies will continue to work, but we have to let those rallies happen first in order to pick up a little bit of an opportunity and a better risk to reward ratio.
S&P 500 Weekly Forecast Video for the Week of 18.07.22
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This article was originally posted on FX Empire
