2 min read

S&P 500 Forecast for Wednesday, October 27, 2021

Updated: Oct 3, 2022

Theme:

Definitive volatility. Something significant transpires that creates a lot of volatility.

Behavior Around the Highs:

A sharp decline through a support level.

Behavior Around the Lows:

Selling off a high into a low. Close proximity to a high.

Overview:

In the pre-market, there is a move to the upside and a trade opportunity right around the open. There is some bouncing around on a support level, maybe poking through it. Then we have a move to the upside to create a new support level before 10:00am. We have Congress highlighted in the next hour, which creates volatility and maybe a low. We dip within a period of sideways back and forth movement between 11:00am and noon. Between noon and 1:00pm, there is a failed attempt to break through a key resistance level and/or a drop through support.

There is some notable volatility which possibly brings us to another trough. There is a notable move higher in this bullish rotation possibly based on some economic data or news between roughly 1:00pm-2:00pm. This creates a rally to a high in the next hour. There is an opportunity in this hour to play both sides of the market, as well. There is a high and a low somewhere in there as well. In the last hour we have a selling from that high that came from a breakthrough of resistance, it then comes down through that same price level. We have notable support highlighted around the close, we are either establishing support or attempting to. We have a decline and extreme volatility in the post-market.

Looking to Tomorrow:

Multiple failed attempts to break through key resistance.