Prior Trading Day Summary
On Mon Aug 24 2026 stocks spent the day trading in a fairly tight range with the low at 7638 and high at 7670. Support at present is at 7650 and the index ended Monday at 7652. Volume was very light at 4.5 billion shares traded and 49% of all stocks were still rising by the close.
The NASDAQ gave back 200 points to close at 25,980 which once more places the index below 26,000. This is the 10th time since April that the NASDAQ has tried to move above 26,000 and ended up back below it. This is becoming a difficult barrier for the NASDAQ.
Let’s review the SPX closing technical indicators from Mon Aug 24 2026 to see what they predict for Tue Aug 25 2026.
Stock Market Outlook: SPX Closing Chart For Mon Aug 24 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 Tuesday but a close on the 21 day moving average often is followed by a bounce attempt.
The 21 day moving average is rising and closed at 7644. This is bullish.
The 50 day moving average is rising and closed at 7546. This is bullish.
The 100 day moving average is rising and closed at 7396. This is bullish.
The 200 day moving average is rising and closed at 7136. This is bullish.
The Lower Bollinger Band is rising 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 Tuesday although there are signs of a likely bounce attempt off the 21 day before falling below it.
SPX Stock Market Outlook review of Mon Aug 24 2026
Stock Market Outlook: Technical Indicators Review
Momentum: Momentum is falling and negative. This is bearish.
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MACD Histogram: MACD (Moving Averages Convergence / Divergence) issued an down signal on Thu Aug 20 2026. On Mon Aug 24 2026 the down signal gained strength.
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Ultimate Oscillator: The Ultimate Oscillator is rising.
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Slow Stochastic: The Slow Stochastic has a down signal in place. It is bearish and heading into oversold readings. A bounce is likely.
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Relative Strength Index: The RSI signal is falling back into oversold levels. A bounce is likely.
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| Rate of Change: The rate of change is falling and signaling that Tuesday 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 Tue Aug 25 2026
For Tuesday the SPX is starting the day at a support level around the 7650 valuation. Major support is down at 7500 which is near the 50 day moving average.
The MACD technical indicator is gaining strength to the downside and the Upper Bollinger Band is now turning lower which is also bearish. The SPX may try to bounce off the 21 day moving average where it ended the day on Monday. This is common and could last for some of the day but the close will be lower. The index is showing signs of wanting to fall further before finding better support. In my comments above for the NASDAQ index I mention that since April the NASDAQ has given back the 26,000 valuation a dozen times. This is bearish and if not careful it is often a topping action that can last several more months. I remain bullish overall but for Tuesday the outlook is for a second bounce attempt but then another lower close for the SPX and NASDAQ indexes. On Wednesday we get earnings from NVIDIA Stock (NVDA) which could be a market moving event. We also get the latest inflation reports on Wednesday. For that reason I am not expecting big swings today but a lot of sideways action while investors wait for the NVIDIA earnings and the latest inflation reports.
Potential Economic and Political Market Moving Events
Monday:
No reports
Tuesday:
10:00 New Home Sales for July are estimated lower at 615,000
10:00 Conference Board Consumer Confidence for August is estimated to dip slightly to 90.2 from 90.8 prior. 90 is a strong result.