7 Monster Stock Market Predictions
Michael Kramer | Mar 02, 2020 12:28AM ET
It will be an insane week for sure, no matter what happens or what the headlines are, so forget them. The only that matters this week is that the S&P 500 holds the lows from Friday morning of 2,855.84. That’s it.
Forget about China PMI; it doesn’t matter. If the S&P 500 holds that level of 2,855 this week, and we get the VIX back down below 30, and 10-Year Treasury yield come up some, then perhaps we can begin to hope the storm is passing.
S&P 500 (SPY (NYSE:SPY)
Throw all the negative headlines you can at the S&P 500 this week. As long as 2855 holds, that is all I care about. There is nothing more important. Lucky, we went out on Friday around 2,954, so it gives about 3.5% to drop to get back there. Yeah, one day’s worth of buffer. But again, I don’t care, lets hit that level early Monday, bounce, and then test it the rest of the week. The more it gets tested and the more it holds, the better.
Nothing else matters.
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Otherwise, we probably fall to 2,736, a drop of another 7.5% from Friday’s close, and at that point around 20% off the highs.
I believe that 2,855, will hold and the S&P 500 will snap back this week, climbing back to 3,150.
Weeks like this, the stocks that matter the most are the generals, these are your market leaders, the heavyweights.
Microsoft
Microsoft (NASDAQ:MSFT), jumps back to $174 after finding support around $152.
Apple
Meanwhile, Apple (NASDAQ:AAPL) bounces back to $295.
Amazon
Amazon (NASDAQ:AMZN) snaps back to $2,034.
Alphabet
Alphabet (NASDAQ:GOOGL) snaps to $1440.
Tesla
Tesla (NASDAQ:TSLA) rises to $775.
Alibaba
Alibaba (NYSE:BABA) back to $222.
That’s its folks, focus on what the market says, not the headlines. If the market is truly washed out, the negative headlines will not matter. Again, the only thing that will matter is Friday’s lows of 2,855 on the SP500. If that holds, then I think the worst may be over.
I happen to think it will hold. Premium content – Bottom Or Not The Coincidence Seems To Be More Than Chance
To everyone, good luck! Just remember it always darkest before the dawn. I’m willing to bet the sunrises, and the world as we know it moves forward.
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