US equity futures at new record highs: S&P 500 forecast higher

  • A shift back to a risk on theme over the past 24-36 hours after last week’s shift to a risk off bias (after cautious and mixed signals from the US-China trade talks).
  • This week has seen positive rumours and more upbeat soundings, with a report overnight stating that the top-level negotiators had been on a call to hammer out the “phase one” trade deal.
  • This has seen global equity markets rebound Monday and move significantly higher overnight, with the major US equity futures, the Dow Jones Industrial Average, the Nasdaq and the S&P 500 all hitting record highs.
  • Here we spotlight the broad, benchmark index, the S&P 500, which is forecast for further gains this week and into December.

S&P 500: Day-trade prospects after a new record high

A strong advance Monday driven by a bull gap 3116.5-14.5 to overcome 3124/25 resistance and then overnight to spike above the recent record high at 3132.5 to a new all-time peak at 3145.0 and despite a setback from here, to set risks higher for Tuesday. 

  • We see an upside bias for 3138/39; break here aims for the new record peak at 3145.0 and 3150.0, maybe 3161.25.
  • But below the support gap at 3116.5-14.5 opens risk down to 3097.75 and maybe even 3090.75.

S&P 500: Intermediate-term outlook

The mid-October surge above 2965.5 set an intermediate-term bull trend.

Upside risks: We see an upside risk for 3250.0.

What changes this? Below 3063.5 shifts the intermediate-term outlook straight to an intermediate-term bear theme.

4 Hour S&P 500 E-Mini Futures – Dec ‘19 Chart

S&P 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Your email address will not be published.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

Stock averages recoveries fading (S&P 500 forecast)

Global share indices tried to advance further on Tuesday into the end of quarter (end of the Japanese fiscal year) but have been unable to resume the bullish themes seen through latter March, last week.The subsequent hesitant setback over the past 24 hours may have reflected recovery fatigue, but also potentially a conclusion to end of month/ quarter, rebalancing flows.We see the short-term threat for… Continued

Next Cycle Low ~4/7

The first countertrend rally took SPX to its 200-DMA  where it was repelled. IWM did not fare nearly as well and remains with considerable relative weakness to the SPX.  There may be some additional trading within the range established this week, with the next short-term low due ~4/8.  An intermediate low is not due until mid-year. SPX daily chart Last Monday SPX made a low… Continued

Stock indices build on bases with firm recoveries (S&P 500 focus)

Global share indices advanced further Thursday, as we had flagged in our report on Tuesday with the US Senate passing the $2 trillion economic relief bill, which moves to the House on Friday.Stock averages have pushed up through numerous resistance barriers, to build on bases and confirm short-term recovery themes.We still do NOT see the conclusion to the bigger bear market established in March, but… Continued

Stocks bounce but still heavy, with US economic relief bill stalling – S&P 500 forecast

Global stocks averages have rebounded overnight into Tuesday, despite the US Senate stalling on the $2 trillion economic relief billAsian and European stocks have advanced through resistance levels, BUT are far from bullishUS equity futures, however, remain under negative pressures having gapped lower to new bear cycle lows onHere we focus on the future on the US benchmark average, the S&P 500, which has underperformed… Continued

Minor Cycle Bounce – Market Turning Points

Point & Figure overview of SPX Long term trend:  Although I do have a potential lower target in mind, I will wait for some confirmation before disclosing it. Intermediate trend:  Maximum 2170 this phase.  Larger drop into mid-year after relief rally. Important  cycles followed I follow only a few cycles that I consider reliable in my analysis.  This is complemented by the analysis of Erik… Continued

Forex Brokers in your location