S&P 500 Forecast 2020 – Long-term Prediction – Outlook

The S&P 500 Index Futures is the world’s most traded stock index.

In this article we make a S&P 500 forecast and also a long-term price prediction. We would like to give an assessment of the future price development of the S&P 500 index futures using the daily, weekly and monthly charts. We also look at the long-term charts for the S&P 500, which are the quarterly chart and yearly chart with a logarithmic scale. The basis of our analysis is the Price Action and Technical Chart Analysis.

The charts used are from TradingView and the prices are from the CME.

S&P 500 Forecast Daily Chart: Market approaching all time high

Last update: October 18, 2020

S&P 500 E-Mini futures is trading above the February high and approaching the all time high at 3587 points.

Screenshot of SP500 Index Futures Emini daily chart apoproaching all time high
S&P 500 forecast: Index futures approaching all time high? (Chart: TradingView)

Resistance: 3587
Support: 3397.5 | 3284.50 | 3254

S&P 500 forecast: The daily chart shows a stabil uptrend with prices above all major moving averages. We expect a continuation of the price advance with next target at 3587 points. Only a price drop below the blue line of the 20 days simple moving average (SMA) and the green line of the 50 days SMA could turn the positive chart picture to neutral or negative.

Key support is the February high at 3397.50 points.

S&P 500 Forecast Weekly Chart: Market approaching all time high

Last update: October 18, 2020

S&P 500 is moving upwards in an established trend and has reached a new all time high at 3587 in September 2020. From this high the market corrected in the following three weeks down to the June high and has also touched the blue line of the 20 weeks simple moving average (SMA). From this correction low the S&P 500 index future has started to move up again and is now trading above the February high. The last week has ended as a “doji” candlestick which stands for indecision of the market.

price prediction of sp500 weekly chart
S&P 500 forecast: Market has reached a new all time high at 3587 points (Chart: TradingView)


Resistance: 3587
Support: 3397.5 | 3284.50 | 3254

S&P 500 forecast: The weekly chart is looking positive and more upside potential is possible. Next target could be the all time high at 3587 points.

Only a sharp drop with prices below the 2019 high at 3254 could finish the established uptrend on the weekly chart and lead to more downside pressure.

S&P 500 Forecast Monthly Chart: Market approaching the all time high

Last update: October 11, 2020

S&P 500 has reached a new all time high in September and is trading above the 2020 February high. We are looking at an established uptrend.

SP500 monthly chart showing uptrend
S&P 500 forecast: Market has reached a new all time high (Chart: TradingView)

Resistance: 3587
Support: 3397.5 | 3284.50 | 3254

S&P 500 forecast: A continuation of the uptrend in the monthly chart has the highest probability and more price advance is possible.

Very important is now the February high at 3397.50 which is major support. We expect to see prices move up the all time high. Only a drop below the 2019 high at 3.254 could turn the positive outlook to neutral or negative.

S&P 500 prediction – the bigger picture (quarterly chart)

Last update: October 11, 2020

The bigger picture: In the quarterly chart, which shows price action from 2016 until fourth quarter of 2020, we can see the long term uptrend. S&P 500 has reached a new all time high at 3587 points on September, 02. The market is now trading above the February high at 3397.50 points.

S&P 500 bigger picture
Bigger Picture – SP500 outlook: Long-term uptrend is intact (Chart: TradingView)

Resistance: 3587
Support : 3397.5 | 3254 | 2947

S&P 500 outlook: We expect S&P 500 to continue the long term uptrend. The quarterly chart is looking positive. Next target could be the all time high.

Very important is now the February high at 3397.50 which is key support. As long as the market is trading above this level, the outlook remains very positive. Prices below 3397.5 would worsen the chart picture. Only a drop below the 2019 high at 3254 could lead to more weakness with a target around 3100.

S&P 500 Historical Chart and Long Term Outlook

Last update: September 29, 2020

In the yearly chart of the S&P 500 Index, which shows price history from 1872 until 2020, we can see the long term uptrend.
The price bar of 2020 is a so called outside bar. In this historical chart the 20 years simple moving average (20 SMA) and 50 years simple moving average (50 SMA) are also moving upwards. In the past, the yearly 20 SMA was last tested in the financial crisis of the years 2008/2009.

SP500 historical chart and long term outlook
SP500 price prediction: Long term yearly chart showing intact uptrend (Chart: TradingView)

Resistance is the all time high: 3515.51
Support: 3247.93 | 2490.91

S&P 500 forecast: We expect to see the S&P 500 resume the long term uptrend. Only a fall below the 2020 low at 2191,86 would turn the positive long term chart to neutral or negative. But this outlook has a very low probability of only 30 %.

What is the current price of S&P 500 Index Futures?

The current price of S&P 500 Index Futures can be seen here.

About S&P 500

S&P 500 — short for Standard and Poor’s 500, is a United States stock market index based on the market capitalizations of the top 500 companies that have common stock listed on the New York Stock Exchange or NASDAQ. With its headquarters in New York City and dating back to 1860, Standard and Poor’s has offices in 23 countries and maintains the SP 500 index. Over $1.25 trillion USD is indexed to Standard and Poor’s portfolio of indices, which includes the S&P 500. The S&P 500 index seeks to reflect the status of the whole stock market by tracking the return and volatility of the 500 most commonly held large cap company stocks on the NYSE, capturing approximately 80% of total market capitalization. The 500 companies comprising the SP500 span all major industries and are selected based on their market capitalization, liquidity, ability to be traded, as well as other factors. Additionally, the importance of the SP500 is highlighted by its use as an economic indicator of the health of the United States economy. (Source: TradingView)

*This price prediction is based on the data collected from various sources. This should not be considered as an investing parameter and user should do their own research before investing.

Do you think our predictions are accurate? What are your thoughts on the methods used to reach our conclusions? Let us know in the comments below.

2 thoughts on “S&P 500 Forecast 2020 – Long-term Prediction – Outlook”

  1. Hi — Great charts. Re your Yearly chart, were you able to draw that resistance line spanning back to the 1920’s on a log scale?

    1. Hi John, good to hear that you like my charts. The yearly chart of SP500 Cash Index has a log scale as you can see at the bottom in the right corner of the chart. Please let me know if you have more questions. My best, Karsten

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