Yahoo News S&P 500 Price Forecast – Stock Markets Continue to Grind
The S&P 500 was somewhat choppy to kick off the week, but still has quite a bit of resiliency that is worth paying attention to. Because of this, think it is only a matter of time before the market participants get involved and push this index to the all-time highs at the 3400 level. I think at this point it is also obvious that short-term pullbacks should be bought into, as the trend is decidedly positive. Every time this market falls, there are plenty of value hunters there waiting to pick it up. I think that continues to be the case, and therefore I do not have any interest in trying to fight this overall trend.
S&P 500 Video 11.08.20
The Federal Reserve continues to flood the markets with money, and that money needs to go somewhere. For most money managers, that is the stock market. The S&P 500 continues to benefit from that cheap US dollar, and therefore it makes sense that we would continue to reach towards those highs. In fact, I do not even have a scenario in which a willing to short this market although it is decidedly overbought.
The 3200 level underneath could be an area of interest for support, and therefore I am more than willing to take advantage of it if we get down there. At this point, buying the dips continues to be the best way to trade this market as it has been for some time. Now that we are getting close to the end of earnings season, it is worth noting that earnings season hardly did any damage to the market at all.
For a look at all of today’s economic events, check out our economic calendar.
This article was originally posted on FX Empire
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