S&P 500 to test $350 by Oct based on 200 week SMA
Here is a look at the 20 and 200 WEEK moving average on the IVV ticker. Note how the S&P has reliably tested the 200 week MA during strong corrections over the last 12 years or so. Rarely does the price go much below. It also seems reasonable to me that we both get a retest of the June low and a more significant test of the Feb 2020 high.
If we see this, then this is where I personally would start to get a lot more serious about going long. I am more of a "dollar cost averager" and have been moving some money into the market since May. I also think (given the current state of the economy) the $340-$360 price range should be a good place to build support (like 2015-2016 correction). Things are not looking as great from a liquidity standpoint with rates going up and the pull back on QE. Time will tell how much this will factor in. However, the job market is actually doing good, and people are still spending. Lets just hope that keeps up and we can avoid any kind of serious recession (2000 or 2008).
A look at the 1 day with 20 and 200 day SMA
If we see this, then this is where I personally would start to get a lot more serious about going long. I am more of a "dollar cost averager" and have been moving some money into the market since May. I also think (given the current state of the economy) the $340-$360 price range should be a good place to build support (like 2015-2016 correction). Things are not looking as great from a liquidity standpoint with rates going up and the pull back on QE. Time will tell how much this will factor in. However, the job market is actually doing good, and people are still spending. Lets just hope that keeps up and we can avoid any kind of serious recession (2000 or 2008).
A look at the 1 day with 20 and 200 day SMA
Comment:
With some channels
Comment:
Follow up on my Sept 3rd idea. You can see that the S&P is now touching the 200 day SMA.
