Prior Trading Day Summary:
With bonds closed on Monday for Columbus Day, stocks moved higher on low volume. The SPX traded just 3 billion shares but closed up 44 points at a new record of 5859. There were just 7 new 52 week lows in stocks on the index but there were 238 new highs which indicates the rally was broad-based on Monday.
The NASDAQ rose 159 points to close at 18,502 on 5 billion shares traded. There were 95 new 52 week lows but 336 new 52 week highs.
The rally was strong despite the low volume but there are a couple of signs Tuesday’s morning could open a bit lower.
Let’s review the technical indicators from Mon Oct 14 2024 to see what they expect for Tue Oct 15 2024.
Stock Market Outlook: SPX Closing Chart For Mon Oct 14 2024
The index reached a new all-time high on Monday of 5871 and closed at a new high of 5859.
The closing candlestick is bullish, closing above the Upper Bollinger Band but also with a slight shadow which usually signals some selling to start the next trading day.
The 21 day moving average is higher at 5727. This is bullish.
The 50 day moving average is higher at 5594. This is bullish.
The 100 day moving average is rising and closed at 5511 which is bullish.
The 200 day moving average is in an uptrend and closed at 5280 which is bullish.
The Lower Bollinger Band is above the 50 day moving average and climbing. The Upper Bollinger Band is turning higher. The latest Bollinger Bands Squeeze is sending stocks higher.
The S&P chart is bullish for Tuesday with just the closing candlestick suggesting some weakness in the morning.
SPX Stock Market Outlook review of Mon Oct 14 2024
Stock Market Outlook: Technical Indicators Review
Momentum: Momentum is rising and positive.
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MACD Histogram: MACD (Moving Averages Convergence / Divergence) issued an up signal on Thu Oct 10 2024. On Monday the up signal was stronger.
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Ultimate Oscillator: The Ultimate Oscillator is rising and positive.
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Slow Stochastic: The Slow Stochastic has a neutral signal in place and is at overbought readings.
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Relative Strength Index: The RSI signal is rising and is overbought.
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Rate of Change: The rate of change signal is rising which signals we could see a higher day on Tuesday.
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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 resistance |
| 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 Tue Oct 15 2024
For Tuesday the closing candlestick on Monday suggests some weakness to start the day and the Slow Stochastic has turned neutral and is signaling overbought. Despite these, the technical indicators are primarily positive and point to a higher day on Tuesday.
The day starts with a number of earnings reports that could impact market direction to start the day. These include Goldman Sachs, Citigroup, Bank Of America and Johnson and Johnson to name a few. Earnings misses are not expected. If the majority of stocks reporting before Tuesday’s open beat estimates, expect the market direction to move higher. On Tuesday the Empire State manufacturing survey is expect to show a fairly pronounced decline to 3.0 from 11.5 prior. This could also weigh on the open is estimates are met or lower.
Potential Economic and Political Market Moving Events
Monday:
No reports
Tuesday:
8:30 Empre State manufacturing survey is expected to show a decline to 3.0 from 11.5 prior