Friday saw investors push the index to another new all-time high of 4286 intraday and a closing high of 4280, up 14 points. Volume was high with over 8 billion shares trading hands. While the technical indicators looks bullish the close was a bit bearish on Friday.
Let’s review Friday’s technical indicators to see what they are signaling we should expect for the start of the week.
Stock Market Outlook Chart Comments At The Close on Fri Jun 25 2021
Friday saw the S&P end the day above the 21 day moving average once again and at the Upper Bollinger Band. That move higher is continuing to pressure the Upper Bollinger Band to rise while the Lower Bollinger Band is moving lower. Both of these are bullish signs and could a signal the latest Bollinger Bands Squeeze will end shortly.
The closing candlestick on Friday though was bearish for the start of week as the index is showing signs of being overbought.
The 50, 100 and 200 day moving averages are climbing. These are bullish signals.
At the close on Friday there is only the candlestick that is bearish. The rest of the chart is bullish for the start of the week.
Stock Market Outlook review of Fri Jun 25 2021
Stock Market Outlook: Technical Indicators Review:
Momentum: Momentum is unchanged and positive.
- Settings: For momentum I use a 10 period when studying market direction.
MACD Histogram: MACD (Moving Averages Convergence / Divergence) issued a down signal Thursday June 17 2021. On Friday an unconfirmed up signal was issued.
- 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 is rising.
- 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 has an up signal in place and is signaling overbought.
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 rising.
- 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 rising.
- 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:
4290 is resistance
4270 is resistance
4250 is resistance
4225 is resistance
4200 is light support and where the 50 day moving average rests
4175 is light support
4150 is light support
4100 is light support
4070 is very light support
4050 is light support and just below the 100 day moving average rests
4000 is good support
3900 is support
3850 is support and just below the 200 day moving average
3800 is support
3750 is good support
3700 is light support
3680 is light support
3600 is strong support
Stock Market Outlook for Tomorrow – Mon Jun 28 2021
For Monday we are back to another day where all the indicators are bullish. Since January, that has often seen a down day develop. The closing candlestick on Friday may be a signal to expect a lower close.
Moving Average Convergence / Divergence issued a new up signal on Friday. While not confirmed there is a good chance we could see a confirmation on the up signal on Monday or Tuesday.
Overall the outlook remains bullish to start the week. That might change by week’s end as we get the June non-farm payroll numbers on Friday but until then the outlook favors the bulls.
Monday should see some dips and there is a good possibility of a lower close but overall the signals are bullish and there is a high probability of a higher close and a confirmation of the MACD technical up signal.
Stock Market Outlook Archives
Stock Market Outlook For Wed May 6 2026 – Choppy But Higher Still
Morning Investing Strategy Notes for Tue May 5 2026
Stock Market Outlook For Tue May 5 2026 – Overbought and Lower
Morning Investing Strategy Notes for Mon May 4 2026
Stock Market Outlook For Mon May 4 2026 – Dips Likely With Possible Lower Close
Morning Investing Strategy Notes for Fri May 1 2026
Stock Market Outlook For Fri May 1 2026 – Overbought But Higher
Morning Investing Strategy Notes for Thu Apr 30 2026
Stock Market Outlook For Thu Apr 30 2026 – Dips Likely Possible Lower Close
Morning Investing Strategy Notes for Wed Apr 29 2026
Stock Market Outlook For Wed Apr 29 2026 – Choppy But Higher Ahead Of More Earnings
Morning Investing Strategy Notes for Tue Apr 28 2026
