[ad_1]
S&P 500 Technical Analysis
The S&P 500 has fallen hard during the Friday session as the stock market has taken another body blow. The inflationary number was much higher than anticipated, and therefore concerns about the Federal Reserve tightening monetary policy and consumers disappearing have Wall Street in a sour mood. Quite frankly, the last couple of days have been a picture-perfect pullback and continuation of the overall downtrend, so now the question is whether or not we break through the support just below?
I do believe it happens. However, I also recognize that we are a little stretched over the last couple of days, so a short-term bounce could make a bit of sense. At that point, I will be looking for signs of exhaustion that I can jump on. I have no interest in trying to buy this market, to me, it looks like it’s going to fall through the floor. In fact, we would have to break above the 50 Day EMA to even remotely suggests that we could have a short-term recovery. After that, the 4300 level ushers in more resistance, in the form of previous price action and the 200 Day EMA.
As for a target, the initial one will probably be 3800, but after that, we could be looking at a move down to the 3600 level. The S&P 500 is in serious trouble, just as many other indices around the world are. There’s no reason to buy stocks at the moment, and with interest rates going higher, it’s going to slow down demand. In fact, the Federal Reserve has been explicitly saying this for months, it just took Wall Street a while to believe them.
US Stock Market Forecast Video for 13.06.22
For a look at all of today’s economic events, check out our economic calendar.
This article was originally posted on FX Empire
More From FXEMPIRE:
[ad_2]
Source link
