The S&P 500 has shown signs of picking up during the trading session on Thursday, as the bullish candle from Tuesday still seems to be an area where buyers are willing to come in and pick this market up. If that’s the case, then I think that we will continue to see market participants continue to try and push towards the previous uptrend line at the 2850 handle. If we can wipe out the massive negative candle from last week, that would be extraordinarily bullish, and then we could continue to go higher. At this point, I think the 2700 level underneath is the “floor” in the uptrend, so as long as we can stay above there, I think it’s very likely that we will continue to find buyers on dips.

It is earnings season, and that of course has a major effect on what happens next with the S&P 500, and so far earnings have been rather good. In general, I believe that this market will continue to attract money, and although we have had a major selloff as of late, I think that the market is simply repricing risk, not necessarily ready to melt down yet. I believe that we have at least one more major surge higher, so I would fully anticipate that eventually we will go looking towards the 3000 handle. Obviously, there are going to be a lot of bumps between here and there.

S&P 500 Video 19.10.18

This article was originally posted on FX Empire

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