Prior Trading Day Summary
On Thu Aug 7 2025 the SPX opened higher but then spent the remainder of the day sliding lower. The close saw the index down just 5 points to close at 6340. The index is still up 101 points on the week.
The NASDAQ rose 73 points to close at 21242. For the week the NASDAQ is up 592 points.
Lets review the closing technical indicators from Thu Aug 7 2025 to see what they predict for the final day of the week, Fri Aug 8 2025.
Stock Market Outlook: SPX Closing Chart For Thu Aug 7 2025
The index closedback above the 21 day moving average but below the Upper Bollinger Band which is bearish.
The closing candlestick is bearish for Friday.
The 21 day moving average is rising and closed at 6316 which is bullish.
The 50 day moving average is rising and closed at 6167 which is bullish.
The 100 day moving average is rising and closed at 6028 which is bullish.
The 200 day moving average is rising and closed at 5868 which is bullish.
The Lower Bollinger Band is turning higher which is bullish. The Upper Bollinger Band is moving sideways which is bearish. The Bollinger Bands Squeeze is still in play but stocks look set to pullback out of the latest squeeze.
The SPX chart is more bullish than bearish for Friday.
SPX Stock Market Outlook review of Thu Aug 7 2025
Stock Market Outlook: Technical Indicators Review
Momentum: Momentum is falling and negative.
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MACD Histogram: MACD (Moving Averages Convergence / Divergence) issued a down signal on Tue Jul 15. On Thu Aug 7 2025 the down signal lost a bit of strength.
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Ultimate Oscillator: The Ultimate Oscillator is rising.
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Slow Stochastic: The Slow Stochastic has an up signal in place.
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Relative Strength Index: The RSI signal is falling.
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| Rate of Change: The rate of change signal is falling signaling a lower close for Friday. Settings: Rate Of Change is set for a 21 period. This indicator looks back 21 days and compares price action from the past to the present. With the Rate Of Change, prices are rising when signals are positive. Conversely, prices are falling when signals are negative. As an advance rises, the Rate Of Change signal should also rise higher, otherwise the rally is suspect. A decline should see the Rate Of Change fall into negative signals. The more negative the signals the stronger the decline. |
Stock Market Outlook: Support and Resistance Levels |
| 6400 is resistance |
| 6390 is resistance |
| 6365 is resistance |
| 6350 is resistance |
| 6325 is resistance |
| 6300 is resistance |
| 6250 is resistance |
| 6225 is resistance |
| 6200 is resistance |
| 6175 is resistance |
| 6150 is resistance |
| 6125 is resistance |
| 6100 is support |
| 6075 is support |
| 6050 is support |
| 6025 is support |
| 6000 is support |
| 5990 is support |
| 5975 is support |
| 5950 is support |
| 5925 is support |
| 5900 is support |
Stock Market Outlook for Fri Aug 8 2025
For Fri Aug 8 2025 the technical indicators are still biased to the bearish side but there are some signals advising a higher close is possible. The problem for the markets is that signals to the downside have quite a bit of strength which is why the outlook is for a choppy day but with only a possible higher close as bearish signals continue to grow.
Potential Economic and Political Market Moving Events
Monday:
10:00 Factory orders came in at -4.8% slightly better than estimates.
Tuesday:
8:30 Trade deficit came in at -$60.2 billion, a larger decrease than estimated
9:45 S&P final services PMI was above estimates at 55.7
10:00 ISM services were lower than estimated at 50.1%
Wednesday:
No economic reports
Thursday:
8:30 Weekly Initial Unemployment Insurance Claims were higher than estimated at 226,000
8:30 Productivity was higher than estimated at 2.4%
8:30 Unit labor costs were higher than estimated at 1.6% but below prior readings of 6.6%
Friday:
No economic reports