FullyInformed.com

Stock Market Outlook for Jan 23 2020 – Overbought, Choppy, Sideways With Bias Up

Jan 23, 2020 | Stock Market Outlook

Stock Market Outlook - sideways slight bias upWednesday Jan 22 saw new highs again in the index by mid-morning but from there the index slipped lower.

By the close the index was pretty well flat for the day as the market continues to battle against being overbought.


Stock Market Outlook Chart Comments At The Close on Wed Jan 22 2020 

The SPX chart continues to be bullish although the closing candlestick from Wednesday is bearish for a continuation of the rally on Thursday.

There are still some indications that the index may enter a Bollinger Bands Squeeze if it does not move convincing higher. The Lower Bollinger Band is clinging to the 50 day moving average and should be falling below it. This needs to be watched for signs of a potential squeeze.

The 200 day moving average is continuing above the 3000 level and the 100 day is above 3100.

There are now four support levels in place. 3200 is very light support while 3100 and 3075 are better support. The best support is down at 3000.

Stock Market Outlook review of Wed Jan 22 2020


Stock Market Outlook: Technical Indicators Review:

Momentum: Momentum is positive but overbought and ocntinuing to move sideways.

  • Settings: For momentum I use a 10 period when studying market direction.

MACD Histogram: MACD (Moving Averages Convergence / Divergence) issued an up signal on Friday Dec 13. At the close on Wednesday the up signal was still strong enough.

  • Settings: For MACD Histogram, I am using the Fast Points set at 13, Slow Points at 26 and Smoothing at 9. 

Ultimate Oscillator: The Ultimate Oscillator signal is not overbought moving lower although it is more sideways than up or down.

  • Settings: The Ultimate Oscillator settings are: Period 1 is 5, Period 2 is 10, Period 3 is 15, Factor 1 is 4, Factor 2 is 2 and Factor 3 is 1. These are not the default settings but are the settings I use with the S&P 500 chart set for 1 to 3 months.

Slow Stochastic: The Slow Stochastic is extremely overbought and has down signal in place.

  • Settings: For the Slow Stochastic I use the K period of 14 and D period of 3. The Slow Stochastic tries to predict the market direction further out than just one day.

Relative Strength Index: The RSI signal is overbought and moving sideways.

  • Settings: The relative strength index is set for a period of 5 which gives it 5 days of market movement to monitor.  It is often the first indicator to show an overbought or oversold signal.

Rate of Change: The rate of change signal is falling.

  • 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.





Support and Resistance Levels To Be Aware Of:

3250 is resistance

3200 is light support

3100 is light support

3075 is light support

3030 is light support

3000 is support

2960 is light support

2950 was light support

2900 is light support

2860 is light support

2840 is support

2800 is strong support


 Stock Market Outlook for Tomorrow – Thu Jan 23 2020 

For Thursday the technical indicators are quite mixed but overall they are pointing more to the market remaining overbought, than to any kind of a pullback.

We should see dips again on Thursday but the close should see the index grind its way higher. The outlook then is sideways with dips but a bias holding to move the index higher.


Stock Market Outlook Archives

Morning Investing Strategy Notes for Mon Mar 18 2024

Morning Investing Strategy Notes
For FullyInformed Members the morning Investing Strategy Notes for Mon Mar 18 2024 discuss the outlook for the third week of March. There are also a number of trade ideas ....... Read More

Stock Market Outlook for Mon Mar 18 2024 – Bounce Likely

Stock Market Outlook - Bounce Likely
Prior Trading Day Summary: On Friday investors opened the day lower and tried a weak bounce which ran into sellers as the SPX reach 5135 shortly before 11:00 AM. That ....... Read More

Morning Investing Strategy Notes for Fri Mar 15 2024

Morning Investing Strategy Notes
For FullyInformed Members the morning Investing Strategy Notes for Fri Mar 15 2024 discuss the outlook now that the PPI numbers are known. There are also a number of trade ....... Read More

Stock Market Outlook for Fri Mar 15 2024 – More Weakness But Bounce Attempt Possible

Stock Market Outlook More Weakness Bounce still possible
Prior Trading Day Summary: On Thursday investors and analysts were surprised by the jump in inflation as shown by the PPI (Producer Price Index). Even with energy and food removed ....... Read More

Morning Investing Strategy Notes for Thu Mar 14 2024

Morning Investing Strategy Notes
For FullyInformed Members the morning Investing Strategy Notes for Thu Mar 14 2024 discuss the PPI numbers and how they may impact stocks today. There are also a number of ....... Read More

Stock Market Outlook for Thu Mar 14 2024 – Back To More Inflation Numbers – Higher Close Expected

Stock Market Outlook - Higher
Prior Trading Day Summary: On Wednesday investors spent a choppy day trading among market leaders both selling and others buying. By the close the SPX had lost just 10 points ....... Read More

Morning Investing Strategy Notes for Wed Mar 13 2024

Morning Investing Strategy Notes
For FullyInformed Members the morning Investing Strategy Notes for Wed Mar 13 2024 discuss the outlook for the day. There are also a number of trade ideas outlined including Dollar ....... Read More

Stock Market Outlook for Wed Mar 13 2024 – Morning Weakness Possible But Higher Close

Stock Market Outlook Morning weakness possible but higher close
Prior Trading Day Summary: On Tuesday the CPI numbers were actually a bit higher than expected but investors decided that the CPI numbers were not high enough for the Fed ....... Read More

Morning Investing Strategy Notes for Tue Mar 12 2024

Morning Investing Strategy Notes
For FullyInformed Members the morning Investing Strategy Notes for Tue Mar 12 2024 discuss the outlook for the day. There are also a number of trade ideas outlined including Oracle ....... Read More

Stock Market Outlook for Tue Mar 12 2024 – Another Bounce Attempt Likely

Stock Market Outlook Another bounce attempt probable
Prior Trading Day Summary: On Monday investors continued to sell tech stocks that have run higher. These included Supermicro Stock (SMCI), NVIDIA Stock (NVDA), Broadcom Stock (AVGO), Advanced Micro Devices ....... Read More

Morning Investing Strategy Notes for Mon Mar 11 2024

Morning Investing Strategy Notes
For FullyInformed Members the morning Investing Strategy Notes for Mon Mar 11 2024 discuss Friday's non-farm payroll numbers along with the outlook for interest rate cuts. There are also a ....... Read More

Stock Market Outlook for Mon Mar 11 2024 – Bounce Likely But Lower

Stock Market Outlook - Bounce Likely But Lower
Prior Trading Day Summary: On Friday the February non-farm payroll numbers was stronger than expected at 275,000 versus 198,000 estimated but surprisingly the prior two months were reduced by ....... Read More

Morning Investing Strategy Notes for Fri Mar 8 2024

Morning Investing Strategy Notes
For FullyInformed Members the morning Investing Strategy Notes for Fri Mar 8 2024 discuss the outlook for Friday once the February non-farm payroll numbers are released. There are also a ....... Read More

Stock Market Outlook for Fri Mar 8 2024 – All About February Non-Farm Payroll Report

All About The Non-Farm Payroll Report
Prior Trading Day Summary: On Thursday stocks moved dramatically higher to new all-time highs. The S&P rose 52 points to close at 5157 and intraday reached 5165 on 4.2 ....... Read More

Morning Investing Strategy Notes for Thu Mar 7 2024

Morning Investing Strategy Notes
For FullyInformed Members the morning Investing Strategy Notes for Thu Mar 7 2024 discuss Wednesday's rebound rally and the outlook for Thursday. There are a large number of trade ideas ....... Read More

Search

Select to view all results...

Generic selectors
Exact matches only
Search in title
Search in content
Post Type Selectors

Recent Outlooks

Morning Investing Strategy Notes for Mon Mar 18 2024

For FullyInformed Members the morning Investing Strategy Notes for Mon Mar 18 2024 discuss the outlook for the third week of March. There are also a number of trade ideas outlined including Adobe Stock (ADBE), Chevron Stock (CVX), Exxon Mobil …

Stock Market Outlook for Mon Mar 18 2024 – Bounce Likely

Prior Trading Day Summary: On Friday investors opened the day lower and tried a weak bounce which ran into sellers as the SPX reach 5135 shortly before 11:00 AM. That proved to be the high of the day as the …

Morning Investing Strategy Notes for Fri Mar 15 2024

For FullyInformed Members the morning Investing Strategy Notes for Fri Mar 15 2024 discuss the outlook now that the PPI numbers are known. There are also a number of trade ideas outlined including Adobe Stock (ADBE), BCE Stock (BCE),  Dollar …

Stock Market Outlook for Fri Mar 15 2024 – More Weakness But Bounce Attempt Possible

Prior Trading Day Summary: On Thursday investors and analysts were surprised by the jump in inflation as shown by the PPI (Producer Price Index). Even with energy and food removed from PPI was still up sharp enough that analysts now …

Morning Investing Strategy Notes for Thu Mar 14 2024

For FullyInformed Members the morning Investing Strategy Notes for Thu Mar 14 2024 discuss the PPI numbers and how they may impact stocks today. There are also a number of trade ideas outlined including Adobe Stock (ADBE), Dick’s Sporting Goods …

Stock Market Outlook for Thu Mar 14 2024 – Back To More Inflation Numbers – Higher Close Expected

Prior Trading Day Summary: On Wednesday investors spent a choppy day trading among market leaders both selling and others buying. By the close the SPX had lost just 10 points to close at 5165 and the NASDAQ lost 88 points …

Morning Investing Strategy Notes for Wed Mar 13 2024

For FullyInformed Members the morning Investing Strategy Notes for Wed Mar 13 2024 discuss the outlook for the day. There are also a number of trade ideas outlined including Dollar Tree Store (DLTR), Dollar General Stock (DG), TQQQ ProShares, VIX …

Stock Market Outlook for Wed Mar 13 2024 – Morning Weakness Possible But Higher Close

Prior Trading Day Summary: On Tuesday the CPI numbers were actually a bit higher than expected but investors decided that the CPI numbers were not high enough for the Fed to not consider rate cuts probably earlier rather than later …

Morning Investing Strategy Notes for Tue Mar 12 2024

For FullyInformed Members the morning Investing Strategy Notes for Tue Mar 12 2024 discuss the outlook for the day. There are also a number of trade ideas outlined including Oracle Stock (ORCL), TQQQ ProShares UltraPro 3X Bull (TQQQ), Dollar Tree …

Stock Market Outlook for Tue Mar 12 2024 – Another Bounce Attempt Likely

Prior Trading Day Summary: On Monday investors continued to sell tech stocks that have run higher. These included Supermicro Stock (SMCI), NVIDIA Stock (NVDA), Broadcom Stock (AVGO), Advanced Micro Devices Stock (AMD), Taiwan Semiconductor Stock (TSM), Micron Technology Stock (MU), …

Morning Investing Strategy Notes for Mon Mar 11 2024

For FullyInformed Members the morning Investing Strategy Notes for Mon Mar 11 2024 discuss Friday’s non-farm payroll numbers along with the outlook for interest rate cuts. There are also a number of trade ideas outlined including NVIDIA Stock (NVDA), Broadcom …

Stock Market Outlook for Mon Mar 11 2024 – Bounce Likely But Lower

Prior Trading Day Summary: On Friday the February non-farm payroll numbers was stronger than expected at 275,000 versus 198,000 estimated but surprisingly the prior two months were reduced by 167,000. Wages however rose just 0.1% well below estimates. The initial …

Morning Investing Strategy Notes for Fri Mar 8 2024

For FullyInformed Members the morning Investing Strategy Notes for Fri Mar 8 2024 discuss the outlook for Friday once the February non-farm payroll numbers are released. There are also a number of trade ideas outlined including Costco Stock (COST), Broadcom …

Stock Market Outlook for Fri Mar 8 2024 – All About February Non-Farm Payroll Report

Prior Trading Day Summary: On Thursday stocks moved dramatically higher to new all-time highs. The S&P rose 52 points to close at 5157 and intraday reached 5165 on 4.2 billion shares traded. Thursday’s action brought the S&P 20 points above …