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S&P 500 Forecast for Monday, May 17, 2021

Updated: Aug 17, 2021

The overall behavior of the S&P 500 throughout the day is that of a breakdown through a diagonal trendline after a high and/or crest, and/or after a notable rally along the aforementioned trendline. In the pre-market, there’s a decline after revisiting a recent peak and a rotation into conservative investments. Stocks jump from a trough right around the open of the day. From that jump and/or peak there is a notable decline off of the peak due to investors taking profits. From the decline, which takes place from the market open through roughly 10am EST, there is another notable move higher as investors take profits but expand their holdings during the rally which takes place between roughly 10am and 11am EST. The rally continues through 12pm EST. Between the hours of 11am and 12pm, approximately, the rally continues, reaching a new high and/or exhibiting a breakout through multiple resistance levels. Between 12pm and roughly 1:15pm EST, a day’s high is formed and/or a crest is formed when multiple attempts to breakout through key resistance are exhibited. Between approximately 1pm and 3pm EST, there is a rotation at the end of a rally and a decline from a peak down to a support level. Between 2 pm and 3pm EST an unexpected change takes place. Stocks plunge in a very strong decline from a peak or from a crest. Within the last two hours of trading the highlight becomes a stalemate in negotiations with no satisfactory course of action to end the stalemate. Stocks exhibit sideways movement on lighter volume. Right around the close of the day fear of the unknown and paranoia take hold of the street. Technicals exhibit price fluctuation and/or exhibit temporary decline. Between roughly 3:45pm EST and the post market there is a sudden and strong yes decline through multiple support levels fueled by unexpected news. I advise myself to take profits and/or open credit call spreads. The low for the day will involve the testing of an important support level. Free members of TheInvestorProphet.com read these predictions days in advance. Subscribe now.