Prior Trading Day Summary:
Prior Trading Day Summary:On Mon Apr 21 2025 stocks tumbled again, this time as President Trump attacked Fed Chair Powell over interest rates not being lowered. Referring to the Fed Chair as Mr. Too Late, the attack unnerved investors and saw another day of deep losses.
The S&P fell 124 points to close at 5158 just 176 points above the close on April 8 that many analysts felt was the bottom to the recent sell-off. The NASDAQ ended down 415 points to close at 15870.
Investors took some solace in the low volume as the SPX traded just 4.2 billion shares, the lowest level since March 26. The NASDAQ traded 6.9 billion shares , the lowest volume since March 25.
Let’s review the technical indicators from the close on Mon Apr 21 2025 to see what they predict for Tue Apr 22 2025.
Stock Market Outlook: SPX Closing Chart For Mon Apr 21 2025
The index closed below the 200 day moving average again and below Wednesday’s (Feb 9) high which is bearish.
The closing candlestick has a long shado9w which usually indicates a failed bounce attempt likely the following day.
The 21 day moving average is falling and closed at 5439. The 21 day moving average fell below the 50 day on Friday Mar 7. It fell below the 100 day on Thursday Mar 13 for a second down signal and on Friday Mar 28 it fell below the 200 day for a third down signal.
The 50 day moving average is falling and closed at 5686 which is bearish. The 50 day moving average fell below the 100 day on Tue April 15. which issues a 4th down signal on the SPX. It is now nearing the 200 day moving average.
The 100 day moving average is falling and closed at 5708 which is bearish.
The 200 day moving average is falling and closed at 5650 which is bearish.
All the moving averages are continuing their decline with four down signals so far in the sell-off.
The Lower Bollinger Band is falling. The Upper Bollinger Band is also falling which is bearish.
For Tuesday the SPX chart is very bearish and indicates any bounce at present will fail.
SPX Stock Market Outlook review of Mon Apr 21 2025
Stock Market Outlook: Technical Indicators Review
Momentum: Momentum is rising and slightly positive.
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MACD Histogram: MACD (Moving Averages Convergence / Divergence) issued a down signal on Thu Apr 3 2025. On Tue Apr 15 2025 a new but unconfirmed up signal was issued which was cancelled today with the MACD moving back negative.
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Ultimate Oscillator: The Ultimate Oscillator is falling and negative. It is not oversold.
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Slow Stochastic: The Slow Stochastic has a down signal still in place.
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Relative Strength Index: The RSI signal is falling and not oversold.
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| Rate of Change: The rate of change signal is falling and signaling a lower close for Tuesday. 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 |
| 5700 is resistance |
| 5650 is resistance |
| 5630 is resistance |
| 5600 is resistance |
| 5550 is resistance |
| 5500 is resistance |
| 5450 is resistance |
| 5400 is resistance |
| 5359 is resistance |
| 5300 is resistance |
| 5230 is support |
| 5000 is support |
| 4770 is support |
| 4680 is support |
| 4500 is support |
| 4365 is support |
| 4150 is support |
| 4000 is support |
Stock Market Outlook for Tue Apr 22 2025
For Tuesday the technical indicators are still bearish. The MACD indicators returned to a strong down signal. With all the technical indicators advising caution, investors may want to consider buying some protection, especially if there is a bounce today, which seems somewhat likely.
Today after the close we get the latest quarterly earnings from Tesla. They many not be pretty and that could ignite further selling.
Potential Economic and Political Market Moving Events
Monday:
10:00 Leading economic indicators were lower than estimated at -0.7% from -0.3% prior
Tuesday:
No economic reports