Prior Trading Day Summary:
On Wednesday stocks had a whipsaw day with a drop on the SPX down to 5932 and a rally to 6009. By the close the index was up just shy of a single point, closing at 5956.
The NASDAQ closed up 49 points to end the day at 19,075.
After hours NVIDIA Stock (NVDA) posted strong earnings results but possibly not the “blow away” numbers many investors were hoping for. After hours the stock rose and then fell. The stock will dictate the open for Thursday.
Let’s review the SPX technical indicators from Wed Feb 26 2025 to see what to expect for Thu Feb 27 2025.
Stock Market Outlook: SPX Closing Chart For Wed Feb 26 2025
The index fell to the 100 day moving average again on Wednesday before bouncing back. This is bullish for Thursday.
The closing candlestick has long shadows, top and bottom which indicates a bounce is likely but it will probably meet sellers.
The 21 day moving average is falling and closed at 6054 which is bearish.
The 50 day moving average is falling and closed at 6004 which is bearish.
The 100 day moving average is rising and closed at 5918 which is bullish.
The 200 day moving average is rising and closed at 5701 which is bullish.
The Lower Bollinger Band is falling which is bearish at present. The Upper Bollinger Band is trending higher which is bullish. The Bollinger Bands Squeeze is ending and stocks are moving lower but could jump.
For Wednesday the SPX chart is more bearish than bullish but with stronger signs of a potential bounce with some staying power.
SPX Stock Market Outlook review of Wed Feb 26 2025
Stock Market Outlook: Technical Indicators Review
Momentum: Momentum is rising and negative.
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MACD Histogram: MACD (Moving Averages Convergence / Divergence) issued a down signal on Mon Feb 21 2025. The down signal was stronger on Wed Feb 26 2025.
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Ultimate Oscillator: The Ultimate Oscillator is falling.
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Slow Stochastic: The Slow Stochastic has a down signal in place for a fifth day and is oversold.
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Relative Strength Index: The RSI signal is falling and signaling oversold.
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Rate of Change: The rate of change signal is rising, signaling Thursday will end higher.
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Stock Market Outlook: Support and Resistance Levels |
| 6150 is resistance |
| 6125 is resistance |
| 6100 is resistance |
| 6090 is resistance |
| 6070 is resistance |
| 6050 is resistance |
| 6025 is resistance |
| 6015 is resistance |
| 6000 is support |
| 5990 is support |
| 5970 is support |
| 5950 is support |
| 5900 is support |
| 5890 is support |
| 5875 is support |
| 5850 is support |
Stock Market Outlook for Thu Feb 27 2025
The open will be all about NVIDIA Stock (NVDA) and whether investors believe earnings were strong enough to push the stock higher. If there is a bounce at the open watch for weakness to appear by 10:00 AM. Stay cautious committing fresh capital until signals are stronger to the up side.
Potential Economic and Political Market Moving Events
Monday:
No events
Tuesday:
9:00 S&P Case-Shiller home price index rose more than expected to 4.5%
10:00 Consumer confidence was weaker, coming in at 98.3
Wednesday:
10:00 New home sales were lower than estimates, coming in at 657,000, down from 734,000 prior.
Thursday:
8:30 Weekly Initial Unemployment Insurance Claims are expected to rise to 225,000
8:30 Durable goods orders are expected to rise to 2.0% from -2.2% prior
8:30 GDP is estimated unchanged at 2.3%
10:00 Pending home sales are expected to rise to -1.0% from -5.5% prior