Prior Trading Day Summary:
On Wednesday stocks slipped ahead of earnings from NVIDIA Stock (NVDA).
The S&P lost 33 points to close at 5592 on low volume of 3.1 billion.
The NASDAQ lost 198 points to close at 17,556 on good volume of 5.5 billion shares traded.
NVIDIA Stock (NVDA) fell after hours despite reporting exceptional earnings and beating estimates. This could be a matter of “sell the news” as so many investors were waitinf to the earnings. Thursday’s morning trading will give us better clues as to how investors intend to react to NVIDIA (NVDA) earnings.
Let’s review the closing technical indicators from Wed Aug 28 2024to see what the signals advise for Thu Aug 29 2024.
Stock Market Outlook: SPX Closing Chart For Wed Aug 28 2024
The index closed above all the major moving averages on Wednesday which is bullish.
The closing candlestick is bearish but has a long shadow which often signals a bounce attempt may occur on Thursday.
The 21 day moving average is turning higher but failed to cross above the 50 day. This is bearish.
The 50 day moving average is rising and closed at 5497. This is bullish.
The 100 day moving average is rising and closed at 5360 which is bullish.
The 200 day moving average is in an uptrend and closed at 5135 which is bullish.
The Lower Bollinger Band is below the 100 day moving average and has turned lower which is bullish.
The Upper Bollinger Band is moving higher which is also bullish.
The S&P chart is strongly bullish with the closing candlestick the only bearish signal.
SPX Stock Market Outlook review of Wed Aug 28 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 Wed Aug 14 2024. On Wed Aug 28 2024the up signal lost some strength which is noticeable in the MACD histogram.
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Ultimate Oscillator: The Ultimate Oscillator is falling and positive.
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Slow Stochastic: The Slow Stochastic has a down signal in place. It is overbought.
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Relative Strength Index: The RSI signal is falling and positive.
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Rate of Change: The rate of change signal is falling signaling Thursday will end lower.
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Stock Market Outlook: Support and Resistance Levels |
| 5660 is resistance |
| 5650 is resistance |
| 5625 is resistance |
| 5615 is resistance |
| 5600 is resistance |
| 5575 is resistance |
| 5550 is resistance |
| 5540 is resistance |
| 5525 is resistance |
| 5500 is resistance |
| 5470 is resistance |
| 5450 is resistance |
| 5425 is support |
| 5400 is support |
| 5375 is support |
| 5350 is support |
| 5325 is support |
| 5300 is support |
| 5275 is support |
| 5250 is support |
| 5225 is support |
| 5200 is support |
Stock Market Outlook for Thu Aug 29 2024
For Thursday, we get to see how investors will react to the latest earnings beat from NVIDIA. After hours the stock fell when the earnings were released but that could be an initial knee-jerk reaction. I think we could see the stock move higher after some initial selling on Friday.
The outlook is lower but with a probable bounce intraday.
Potential Economic and Political Market Moving Events
Monday:
8:30 Durable goods orders surprised and rose to 9.9% from the prior -6.7%
8:30 Durable goods orders less transportation however came in negative at -0.2%
Tuesday:
9:00 S&P Case-Shiller home price index is expected lower at 6.3% from 6.8% prior
10:00 Consumer confidence is expected to rise slightly to 101 from 100.3
Wednesday:
No reports of consequence
Thursday:
8:30 Weekly Initial Unemployment Insurance Claims are estimated to be 230,000. A higher number will send stocks lower intraday.
8:30 Advanced trade balance in goods in expected to dip to 0.5% from the prior 0.7%
8:30 GDP revised for a second time is expected to come in unchanged at 2.8%
10:00 Pending home sales are estimated to come in at 0.1% down from 4.8% prior.