Shares post erratic bounce, but risks stay lower – S&P 500 Forecast

  • A rebound from early weakness by global stock averages to start this week.
  • However, global stock averages remain damaged by the mid-June selloffs after the subdued outlook for the US economy from the Fed.
  • Plus, the rise in coronavirus cases in some US states, alongside new outbreaks in China and Germany have weighed on risk assets.
  • Here we look at the US benchmark stock average future, the S&P 500 forecast for today and late June.

S&P 500 day trade outlook: A negative bias

A significant push lower Monday below 3031.0 support, to then bounce from 3027.5, after Friday’s failure from below our 3156.25 resistance at to resume negative pressures from the aggressive mid-June selloff, and whilst below 3104/0 to leave negative forces from the mid-June surrender of key 2965.5 (for an intermediate-term shift from bullish back to neutral), to aim lower again into Tuesday.

  • We see a downside bias for 3060.0 and 3027.5; below here aims for 2995.5 and 2955/52, maybe 2923.75.
  • But above 3125/29 aims for 3156.25 and possibly 3180.75.

S&P 500 intermediate-term outlook

The mid-June push below 2965.5 signalled an intermediate-term shift to a broader range seen as 2760.25 to 3180.75.

  • Downside risks: Below 2760.25 sets an intermediate-term bear trend to target 2620.75, 2424.75 and maybe 2174.0.
  • Upside risks: Above 3180.75 sets an intermediate-term bull trend to target 3397.5 maybe 3500.0

6 Hour S&P 500 Chart

sp 500 chart

Editor in chief

Steve Miley has 29 years of financial market experience and as a seasoned expert now has many responsibilities. He is the founder, Director and Primary Analyst at The Market Chartist, the Editor-in...continued

Comment on this video

Your email address will not be published. Required fields are marked *

Latest Related News

Day Trade Ideas: Video analysis – Dollar, WTI Crude, Gold, Emini S&P, Dow Jones

Wide analysis of the US Dollar, Crude Oil, E-Mini Future S&P 500 and the Dow Jones. Also taking a look at Gold and how it is doing in these volatile times. Continued

Stocks averages sustain bull threats (S&P 500 forecast)

In Friday’s publication we highlighted the more bullish threat for the German benchmark stock index future, the DAX forecast.The gains so far this week by share indices globally have reinforced the surge higher last Thursday, after the far better than expected US Employment report for June, which produced bullish breakout attempts from multi-week range environments from June.Here we look at the US benchmark stock index… Continued

“Risk on” resumes! Data wins over virus concerns

Macroeconomic/ geopolitical developments Global financial markets have started to resolve the indecisive theme that has been evident from the middle of June into more of a “risk on” bias to start July.Markets have been caught between two competing forces; increasingly positive economic data compared to consensus and the rise in COVID-19 cases (particularly in the southern states of the US, but also in pockets globally).The… Continued

Is the bear market rally top in? US COVID-19 cases weigh on stocks

Macroeconomic/ geopolitical developments Global financial markets continued the indecisive tone seen through mid-June into the end of the month, which has been in relation to competing forces; positive economic data/ strong retail demand/ support from the authorities on the one hand and the rise in COVID-19 cases on the other.The strong rally from mid-May into the first half of June, was driven to some extent… Continued

Stocks rebound but bias stays lower – S&P 500 Forecast

A rebound effort for global stock averages to start this week after early weakness, driven back higher by the Fed announcement of the start of their corporate bond buying programme.However, global share indices have been damaged by the selloff from last week after the downbeat outlook for the US economy from the Fed and by the rise in coronavirus cases in some US states, alongside… Continued

Forex Brokers in your location