Prior Trading Day Summary:
Friday saw both indexes rally to end another week of gains. The S&P rose 23 for another new closing high of 5864. For the week the SPX was up 49 points, marking 6 straight weeks of higher closes.
The NASDAQ rose 116 points on Friday to close at 18,489. The NASDAQ is less than 1% below its all-time high of $18,671 made July 11. For the week the index rose 146 points. Over the past 6 weeks the NASDAQ has risen 1797 points for a10% gain.
Volumes were low with the SPX trading 3.5 billion shares but 62% of all stocks rising. On the NASDAQ 5.2 billion shares traded with 66% of all stocks rising.
Let’s review the technical indicators from Fri Oct 18 2024 to see what they expect for Mon Oct 21 2024, the start of the fourth week of October.
Stock Market Outlook: SPX Closing Chart For Fri Oct 18 2024
The index closed up 23 points still at the Upper Bollinger Band and above the 21 day moving average.
The closing candlestick is bullish for Monday but signals dips are probable.
The 21 day moving average is higher at 5764. This is bullish.
The 50 day moving average is higher at 5642. This is bullish.
The 100 day moving average is rising and closed at 5536 which is bullish.
The 200 day moving average is in an uptrend and closed at 5302 which is bullish.
The Lower Bollinger Band is above the 50 day moving average but falling back. The Upper Bollinger Band is moving higher. The latest Bollinger Bands Squeeze is sending stocks higher.
The S&P chart is bullish for Monday with possibility of a dip or two but higher close.
SPX Stock Market Outlook review of Fri Oct 18 2024
Stock Market Outlook: Technical Indicators Review
Momentum: Momentum is falling and positive.
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MACD Histogram: MACD (Moving Averages Convergence / Divergence) issued an up signal on Thu Oct 10 2024. On Friday the up signal lost some strength.
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Ultimate Oscillator: The Ultimate Oscillator is falling and positive.
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Slow Stochastic: The Slow Stochastic has a week up signal in place and is no longer overbought.
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Relative Strength Index: The RSI signal is rising
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Rate of Change: The rate of change signal is falling which signals we could see a lower day on Monday.
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Stock Market Outlook: Support and Resistance Levels |
| 5875 is resistance |
| 5850 is resistance |
| 5815 is resistance |
| 5800 is resistance |
| 5790 is resistance |
| 5775 is resistance |
| 5765 is resistance |
| 5750 is resistance |
| 5740 is resistance |
| 5715 is resistance |
| 5700 is support |
| 5680 is support |
| 5650 is support |
| 5625 is support |
| 5600 is support |
| 5575 is support |
| 5550 is light support |
| 5525 is support |
| 5500 is support |
Stock Market Outlook for Mon Oct 21 2024
For Monday the technical indicators are mixed but still bullish enough to expect a higher close. This week earnings start pouring in including many big cap stocks. Normally we can expect limited downside as investors take into account upcoming earnings. That means choppy trading at times with dips probable but a higher close on Monday.
The leading economic indicators are out Monday morning but are not expected to impact market direction.
Potential Economic and Political Market Moving Events
Monday:
10:00 Leading economic indicators are expected to slip slightly to -0.3% from-0.2%