The S&P 500 pulled back a bit in early trading on Wednesday, as we are awaiting the announcement coming out of the Federal Reserve. As traders continue to wonder about the future direction of the Federal Reserve, this will have a major influence on markets overall, as we continue to see questions as to liquidity. We have recently seen a major high, but this pullback should be thought of as a buying opportunity unless of course we have some type of shock coming out of the Federal Reserve.
S&P 500 Video 21.03.19
The 2800 level underneath should be supportive, and so should the 50 day EMA which is at roughly 2750. Quite frankly, the Federal Reserve has proven that it is going to give into the whims of Wall Street, so it’s hard to imagine that we are going to see a hawkish Federal Reserve blowing up the stock market. At this point, any time we did from here is more than likely going to be thought of as a buying opportunity as we grind our way towards the 2900 level above which is massive resistance. Longer-term, we could go as high as 3000 but we obviously have some work to do on the way. There are always going to be headlines out there to scare the market, but the trend is still very much to the upside and there’s no point in trying to fight that. I have no interest whatsoever in shorting the S&P 500 for any real length of time.
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This article was originally posted on FX Empire
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