SP500 Forecast – August 21, 2025

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SP500 Forecast – August 21, 2025

Bias: Neutral (waiting for breakout signals)

The S&P 500 traded sideways today as investors weighed mixed corporate earnings and caution ahead of key U.S. economic releases. Price action is consolidating near the 5,450 zone, with market participants hesitant to commit until fresh catalysts emerge.

Key Levels to Watch

Support: 5,400 – A decisive break lower could extend losses toward 5,350

Resistance: 5,500 – A breakout above this barrier could open the path toward 5,550

Range Zone: 5,400 – 5,500 (short-term consolidation)

Market Outlook

Investor sentiment remains cautious as attention shifts to Federal Reserve commentary.

Sector rotation continues to drive volatility, with tech showing resilience while defensives lag.

Macro data due later this week is expected to provide clearer direction.

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