Prior Trading Day Summary:
On Friday stocks opened higher, dipped in the morning but continued to hold a bullish bias. By the afternoon the SPX was pushing to 5030 before finally closing at 5026 marking the first close above 5000 for the SPX and new all-time highs.
Volume dropped to 3.9 billion shares on Friday but new lows still declined further reaching just 20 new lows with 62% of all stocks still rising.
The NASDAQ gained 197 points and closed at 15990 just 17 points below the index’s 52 week high. Friday saw the highest level of trading volume since Jan 16 with 5.9 billion shares traded. 64% of all stocks were rising.
Let’s review Friday’s closing technical indicators to see what to expect for the start of the second week of February.
Stock Market Outlook: SPX Closing Chart For Fri Feb 9 2024
The index closed at the Upper Bollinger Band which is bullish.
The closing candlestick is bullish for Monday and signals the index is overbought.
The 21 day moving average is moving higher which is bullish. It is above the 4875 valuation.
The 50 day moving average is rising and nearing 4800 which is bullish.
The 100 and 200 day moving averages are climbing which is bullish. The 200 day is at 4500 on the SPX which is bullish.
The Lower Bollinger Band is rising as is the Upper Bollinger Band. At present this is bullish.
The S&P chart is bullish for Monday and overbought.
Stock Market Outlook review of Fri Feb 9 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 Tue Jan 23 2024. On Fri Feb 9 2024 the up signal gained strength.
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Ultimate Oscillator: The Ultimate Oscillator is rising and positive. It is overbought.
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Slow Stochastic: The Slow Stochastic has an up signal in place and is overbought.
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Relative Strength Index: The RSI signal is rising and positive. It is overbought.
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Rate of Change: The rate of change signal is unchanged signaling not much change is expected on Monday.
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Stock Market Outlook: Support and Resistance Levels |
| 5050 is resistance |
| 5025 is resistance |
| 5010 is resistance |
| 5000 is resistance |
| 4990 is resistance |
| 4975 is resistance |
| 4950 is resistance |
| 4925 is resistance |
| 4915 is resistance |
| 4900 is resistance |
| 4875 is resistance |
| 4850 is resistance |
| 4825 is support |
| 4815 is support |
| 4800 is support |
| 4780 is support |
| 4750 is support |
| 4720 is support |
| 4700 is support |
| 4675 is support |
| 4650 is support |
Stock Market Outlook for Mon Feb 12 2024
The technical indicators are bullish for the start of the week with just the Rate Of Change not showing much strength to start the week.
On Monday there are no economic reports that will impact stocks but on Tuesday investors get the latest inflation numbers when the Consumer Price Index is reported.
Monday could see stocks trend more sideways and choppy while investors wait for the those numbers tomorrow. The outlook then is for a choppy but sideways move holding an up bias.
Potential Economic and Political Market Moving Events
Inflation on Tuesday with CPI reports and on Thursday a myriad of economic reports will have the most impact this week.
Monday:
No reports that will impact stocks