S&P 500 Price Forecast – Stock Markets Stabilize
The S&P 500 went back and forth during the trading session on Thursday, as we are trying to stabilize after the major selloff on Wednesday. So far, it looks as if that is in fact going to be the case, so I like the idea of this market possibly showing signs of life again. The 3200 level underneath is massive support, and of course is where we see the 200 day EMA and lingering. As long as we can stay above all of that, it is likely that this market will remain range bound.
S&P 500 Video 30.10.20
There is a little bit of optimism as Covid headlines suggest that there may be chance for treatment moving forward. This could be part of what is lifting the market, or just a simple technical play based upon the previous support. Furthermore, we have the election and the European Union locking itself down, so it may provide a little bit of a bid for US equities due to the fact that money is trying to leave the European Union. (It should be noted that the Euro got hammered during the session, in a clear sign that money was leaving the EU.)
Currently, I feel it is only a matter of time before the buyers come back in and try to lift this market, but I need a little bit more conviction out of the bullish traders to follow them. It looks to me like we are trying to form some type of range between the 3200 level and perhaps the 3500 level above, which makes quite a bit of sense as there so much risk at the moment.
For a look at all of today’s economic events, check out our economic calendar.
This article was originally posted on FX Empire
