Prior Trading Day Summary:
Thursday was a low volume day as anticipated and stock indexes were basically flat on the day.
The S&P closed down 2 points to 6037 and the NASDAQ was down 10 points to 20020.
There was little of concern in Thursday’s market action.
Let’s review the technical indicators at the close on Thu Dec 26 2024 to see what to expect for Fri Dec 27 2024.
Stock Market Outlook: SPX Closing Chart For Thu Dec 26 2024
The index closed above all major moving averages on Thursday including the 21 day moving average for a second day. This is bullish.
The closing candlestick is bullish for Friday.
The 21 day moving average is higher at 6024 which is bullish
The 50 day moving average is higher at 5938 which is bullish.
The 100 day moving average is rising and closed at 5796 which is bullish.
The 200 day moving average is in an uptrend and closed at 5546 which is bullish.
The Lower Bollinger Band is below the 50 day and trending higher which is bullish. The Upper Bollinger Band is turning higher which is bullish.
The S&P chart is more bullish than bearish for Friday. Any dips are opportunities to setup trades.
SPX Stock Market Outlook review of Thu Dec 26 2024
Stock Market Outlook: Technical Indicators Review
Momentum: Momentum is falling and slightly negative.
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MACD Histogram: MACD (Moving Averages Convergence / Divergence) issued a down signal on Tuesday Dec 10 2024 . The down signal weakened again on Thursday.
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Ultimate Oscillator: The Ultimate Oscillator is rising.
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Slow Stochastic: The Slow Stochastic has an up signal in place.
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Relative Strength Index: The RSI signal is trending sideways.
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Rate of Change: The rate of change signal is falling due to low volume.
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Stock Market Outlook: Support and Resistance Levels |
| 6100 is strong resistance |
| 6090 is resistance |
| 6070 is resistance |
| 6050 is resistance |
| 6025 is resistance |
| 6015 is resistance |
| 6000 is resistance |
| 5990 is resistance |
| 5970 is resistance |
| 5950 is support |
| 5900 is support |
| 5890 is support |
| 5875 is support |
| 5850 is support |
| 5825 is support |
| 5800 is support |
| 5790 is support |
| 5775 is support |
| 5765 is support |
| 5750 is support |
| 5725 is support |
| 5700 is support |
Stock Market Outlook for Fri Dec 27 2024
Thursday saw low volumes specially on the S&P where less than 3 billion shares traded hands. The NASDAQ fared better trading 6.7 billion shares. Without any conviction on Thursday and with many traders away for the Christmas holiday, the market basically hung on waiting for more volume to show up. We should see an increase in volume today but more volume will be seen next week.
For Friday the outlook remains Still Bullish. The Santa Claus Rally remains intact.
Potential Economic and Political Market Moving Events
Monday:
10:00 Consumer Confidence unexpectedly fell to 104.7 from 112.8 prior
8:30 Durable goods orders unexpectedly fell to -1.1% from 0.8% prior
10:00 New home sales missed estimates but still rose to 664,000, up from 627,000 prior
Tuesday:
No reports
Wednesday:
Christmas Day
Thursday:
8:30 Weekly Initial Unemployment Insurance Claims were lighter than expected at 219,000
Friday:
8:30 Advanced trade balance in goods is estimated at -$98.3 billion
8:30 Advanced retail inventories are estimated unchanged at 0.1%
8:30 Advanced whole inventories are estimated unchanged at 0.2%