Sp 500 To Touch Support

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Sp 500 To Touch Support

SP 500 To Touch 5076 Level In Next Few Days, According To Btig

The analysts at BTIG have made a forecast about the S&P 500 index, which is bearish in nature. According to them, the index will head lower towards the 5076 level as the price action of yesterday has shown a clear shift of trend.

It is important to note that the 50 SMA on the D1 chart of the S&P 500 is located at the 5076 handle. They added that there's a very high chance that the index is now heading towards the 50 SMA.

Just a day earlier, a selloff was seen in the S&P 500 mainly due to the hawkish comments from the Fed Speakers. Additionally, the NFP report also reaffirmed the view to a certain extent, which also hints at possible downside for the SP 500.

While we look at it, the tensions rising from the Russia-Ukraine and other parts of the world are also expected to weigh heavily on the stock markets. For now, the situation remains fluid, which makes it even harder to anticipate how it will work out in the near future.

BTIG also added that yesterday's price action of the S&P 500 was ugly, without any doubt. However, the same action will likely continue starting from Monday as both the technical and fundamental signs hint at it!

The firm also added that the S&P 500 has also pierced a lot of uptrends as of late, which suggests that things are not going well for the index at all.

While none of these factors means a 100% guarantee of a move lower, there is still enough evidence that hints at a change in the tone.

Starting from next Monday, the focus will once again shift towards the rate cuts and inflation print. That's why it is safe to say that the PMI readings and the NFP report are now a thing of the past and already priced in!

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