Prior Trading Day Summary
On Wednesday investors were in a holding pattern ahead of NVIDIA (NVDA) earnings which were released after the close. NVIDIA Stock (NVDA) blew away all estimates and while the stock dipped initially, it began to climb later in after hours trading.
The SPX fell just 1.5 points to close at 7675 on declining volume of 4.2 billion, By the close 45% of stocks were climbing.
The NASDAQ fell 21 points to 26130. Volume was 7.4 billion with 40% of stocks on the index rising by the close.
Let’s review the SPX closing technical indicators from Wed Aug 26 2026 to see what they predict for Thu Aug 27 2026.
Stock Market Outlook: SPX Closing Chart For Wed Aug 26 2026
The index ended the day below the Upper Bollinger Band and at the 21 day moving average. This is bearish.
The closing candlestick is bearish for Thursday with two shadows. Normally investors should anticipate a bounce off Wednesday’s closing candlestick.
The 21 day moving average is rising and closed at 7669. This is bullish.
The 50 day moving average is rising and closed at 7553. This is bullish.
The 100 day moving average is rising and closed at 7407. This is bullish.
The 200 day moving average is rising and closed at 7147. This is bullish.
The Lower Bollinger Band is rising above the 100 day moving average which is bearish. The Upper Bollinger Band is falling which is bearish. Signals are advising stocks may pullback further.
The SPX chart is more bearish than bullish for Thursday although a bounce is possible again today.
SPX Stock Market Outlook review of Wed Aug 26 2026
Stock Market Outlook: Technical Indicators Review
Momentum: Momentum is falling and negative. This is bearish.
|
MACD Histogram: MACD (Moving Averages Convergence / Divergence) issued an down signal on Thu Aug 20 2026. On Wed Aug 26 2026 the down signal gained some strength.
|
Ultimate Oscillator: The Ultimate Oscillator is rising which is bullish.
|
Slow Stochastic: The Slow Stochastic has a down signal in place although an up signal is likely today.
|
Relative Strength Index: The RSI signal is falling which is bearish.
|
| Rate of Change: The rate of change is falling and signaling that Thursday will end lower. 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 |
| 7800 is resistance |
| 7780 is resistance |
| 7750 is resistance |
| 7700 is resistance |
| 7650 is resistance |
| 7600 is resistance |
| 7590 is resistance |
| 7570 is resistance |
| 7550 is resistance |
| 7500 is support |
| 7450 is support |
| 7425 is support |
| 7400 is support |
Stock Market Outlook for Thu Aug 27 2026
For Thursday I expect the SPX to end the day higher. NVIDIA Stock (NVDA) should move higher today on the back of far better earnings which beat all estimates. Their forward guidance is terrific. I also expect Crowdstrike Stock (CRWD), Salesforce.com Stock (CRM) and Okta Stock (OKTA) to also move higher after they reported excellent earnings on Wednesday after the close.
The morning could see a dip or two but overall the outlook should be bullish today despite the technical indicators being primarily bearish.
Potential Economic and Political Market Moving Events
Monday:
No reports
Tuesday:
10:00 New Home Sales for July were lower than estimated coming in at 607,000
10:00 Conference Board Consumer Confidence for August fell more than estimated to 89.4
Wednesday:
8:30 Durable goods for July came in much higher than estimated at 1.1% versus 0.3% prior
8:30 2nd estimated GDP for second quarter came in unchanged at 1.5%
8:30 Personal income for July beat estimates rising to 0.4%
8:30 Consumer spending best estimates coming in at 0.2%
8:30 Personal Consumption Expenditures price index for July rose to 0.2% beating estimates
8:30 PCE price index year-over-year is estimated rose to 3.7% beating estimates
8:30 PCE Core price index (month to month) for July came in as estimated at 0.2%
8:30 PCE Core Prince index year-over-year for July came in below estimates at 3.3% unchanged
Thursday:
8:30 Weekly Initial Unemployment Insurance Claims are estimated higher at 208,000
8:30 Advance Trade Balance in Goods for July is estimated at -101.5
8:30 Wholesale inventories for July is estimated at 0.3%
8:30 Retail inventories for July is estimated at 0%