S&P 500 Price Forecast – S&P 500 struggles on Monday
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The S&P 500 has drifted a little bit lower during the trading session on Monday, reaching towards the 2800 level as traders flatten out positions ahead of the jobs report, the Bank of England, the Federal Reserve, and a whole slew of announcements this week. This could give us some clarity as to where we are going next, but the area below the 2800 level has been very supportive, extending down to the 2790 level. At this point, I don’t see anything to suggest that the support won’t hold, but the selloff has been rather brutal. If we blast through the 2790 level, then I think we have a move to the 2740 handle next. Otherwise, if we bounce from this region, we will probably need to build a bit of a base over the next couple of days.
I don’t necessarily think that we are looking at some type of meltdown, I believe what we are looking at is the market getting a bit cautious ahead of so many volatility inducing announcements this week. I think that by the end of the week, we will have more clarity for the rest of the summer, as the next couple of days could be crucial for risk appetite globally. I would be very cautious about trading the S&P 500 over the next couple of days and would certainly look to trade in small increments.
S&P 500 Video 31.07.18
This article was originally posted on FX Empire