Prior Trading Day Summary:
Tuesday saw a low volume half day. Normally a half day favors the bulls and Tuesday definitely proved this point. The SPX rose 66 points to end the day at 6040. The past three trading days recovered Wednesday’s market plunge.
The NASDAQ rose 266 points to close at 20,031. The NASDAQ has recovered all of Wednesday’s plunge except for 58 points.
Stocks appear set for the anticipated Santa Claus Rally to continue Thursday.
Let’s review the technical indicators at the close on Tue Dec 24 2024 to see what to expect for Thu Dec 26 2024.
Stock Market Outlook: SPX Closing Chart For Tue Dec 24 2024
The index closed above all major moving averages on Tuesday. This is bullish.
The closing candlestick is bullish for Thursday..
The 21 day moving average is up slightly at 6022 which is bullish
The 50 day moving average is higher at 5933 which is bullish.
The 100 day moving average is rising and closed at 5791 which is bullish.
The 200 day moving average is in an uptrend and closed at 5541 which is bullish.
The Lower Bollinger Band is below the 50 day and trending higher which is bullish. The Upper Bollinger Band is turnin higher which is bullish.
The S&P chart is still more bullish than bearish for Thursday. Any dips are opportunities to setup trades.
SPX Stock Market Outlook review of Tue Dec 24 2024
Stock Market Outlook: Technical Indicators Review
Momentum: Momentum is rising and slightly negative.
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MACD Histogram: MACD (Moving Averages Convergence / Divergence) issued a down signal on Tuesday Dec 10 2024 . The down signal weakened considerably on Tuesday.
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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 rising.
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Rate of Change: The rate of change signal is rising. It is signaling Thursday will end slightly higher.
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Stock Market Outlook: Support and Resistance Levels |
| 6100 is strong resistance |
| 6090 is resistance |
| 6070 is resistance |
| 6050 is resistance |
| 6025 is resistance |
| 6015 is resistance |
| 6000 is resistance |
| 5990 is resistance |
| 5970 is resistance |
| 5950 is support |
| 5900 is support |
| 5890 is support |
| 5875 is support |
| 5850 is support |
| 5825 is support |
| 5800 is support |
| 5790 is support |
| 5775 is support |
| 5765 is support |
| 5750 is support |
| 5725 is support |
| 5700 is support |
Stock Market Outlook for Thu Dec 26 2024
Tuesday half day saw strong advances for the indexes. The S&P had its best day since Nov 6. The NASDAQ had its best day since Dec 11.
The technical indicators are all showing strength to the upside continues to build. The rally is widening and engulfing more stocks. Thursday should see the rally continue. Any dips at this stage of the rally are opportunities to setup trades.
Potential Economic and Political Market Moving Events
Monday:
10:00 Consumer Confidence unexpectedly fell to 104.7 from 112.8 prior
8:30 Durable goods orders unexpectedly fell to -1.1% from 0.8% prior
10:00 New home sales missed estimates but still rose to 664,000, up from 627,000 prior
Tuesday:
No reports
Wednesday:
Christmas Day
Thursday:
8:30 Weekly Initial Unemployment Insurance Claims are estimated to rise slightly to 225,000 from 220,000