Prior Trading Day Summary:
On Monday stocks trended primarily sideways with slight gains by the close on lower volume.
The SPX traded 3.6 billion shares and closed up 16 points to 5718 another new closing high.
The NASDAQ traded 5.4 billion shares and closed up 25 points to 17,974.
Let’s review the closing technical indicators from Mon Sep 23 2024 to see what to expect on Tue Sep 24 2024.
Stock Market Outlook: SPX Closing Chart For Mon Sep 23 2024
The index closed above the 21 day moving average and at the Upper Bollinger Band which is bullish.
The closing candlestick has two short shadows (head and tail) signaling some weakness and overbought but a higher close is still expected.
The 21 day moving average is higher at 5592. This is bullish.
The 50 day moving average is higher at 5520. This is bullish.
The 100 day moving average is rising and closed at 5427 which is bullish.
The 200 day moving average is in an uptrend and closed at 5204 which is bullish. This places the 200 day 8.7% below the close which is bullish.
The Lower Bollinger Band is above the 100 day moving average and almost ready to cross below it. This is bullish.
The Upper Bollinger Band is turning higher which is bullish. The Bollinger Bands Squeeze is endied with stocks moving higher.
The S&P chart is more bullish than bearish for Tuesday.
SPX Stock Market Outlook review of Mon Sep 23 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 Fri Sep 13 2024. The up signal was stronger on Monday.
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Ultimate Oscillator: The Ultimate Oscillator is falling and positive.
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Slow Stochastic: The Slow Stochastic is in an up signal but is at overbought levels.
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Relative Strength Index: The RSI signal is rising and positive. It is at overbought levels.
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Rate of Change: The rate of change signal is rising signaling Tuesday will end higher.
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Stock Market Outlook: Support and Resistance Levels |
| 5715 is resistance |
| 5700 is resistance |
| 5650 is resistance |
| 5625 is resistance |
| 5615 is resistance |
| 5600 is resistance |
| 5575 is resistance |
| 5550 is light support |
| 5525 is support |
| 5500 is support |
| 5470 is support |
| 5450 is support |
| 5425 is support |
| 5400 is support |
Stock Market Outlook for Tue Sep 24 2024
For Tuesday the technical indicators are continuing to support the bias higher for stocks. Some weakness has to be expected as the market continues to push against overbought levels, but there is still room to climb as not all indicators are signaling overbought.
The consumer confidence number due out at 10:00 might see a bump or a dip depending on how it comes in but overall investors are focused on the half point rate cut from last week and an expected further rate cut in November.
Potential Economic and Political Market Moving Events
Monday:
9:45 S&P flash services PMI came in as expected at 55.4
9:45 S&P flash manufacturing PMI was lower than expected at 47
Tuesday:
9:00 Case-Shiller home price index is expected to slip to 6% from 6.5%
10:00 Consumer confidence is expected to rise to 104 from 103.3