Prior Trading Day Summary:
Monday saw investors take profits which was not unexpected considering last week’s rally and a high number of stocks sitting at 52 week highs.
The SPX ended the day down 37 points to close at 6052. Volume rose to 4.7 billion shares but 54% of all volume was still rising by the close.
The NASDAQ saw 8 billion shares trade hands and the index slip 123 points to close at 19736. Up volume was 59% despite the lower close.
Let’s review the technical indicators at the close on Mon Dec 9 2024 to see what to expect for Tue Dec 10 2024.
Stock Market Outlook: SPX Closing Chart For Mon Dec 9 2024
The index pushed slipped on Monday which is bearish.
The closing candlestick is bearish for Tuesday.
The 21 day moving average is higher at 5993. This is bullish.
The 50 day moving average is higher at 5879. This is bullish.
The 100 day moving average is rising and closed at 5740 which is bullish.
The 200 day moving average is in an uptrend and closed at 5487 which is bullish.
The Lower Bollinger Band is moved above the the 50 day on Friday but slipped back below it on Monday. This is bearish. The Upper Bollinger Band is rising which is bullish. We could still see a Bollinger Bands Squeeze this week unless the two bands move further apart.
The S&P chart is bearish for the close on Tuesday.
SPX Stock Market Outlook review of Mon Dec 9 2024
Stock Market Outlook: Technical Indicators Review
Momentum: Momentum is falling and positive.
|
MACD Histogram: MACD (Moving Averages Convergence / Divergence) issued an up signal on Monday Nov 25 2024. The up signal was weaker on Monday.
|
Ultimate Oscillator: The Ultimate Oscillator is falling.
|
Slow Stochastic: The Slow Stochastic has a down signal and is leaving overbought readings.
|
Relative Strength Index: The RSI signal is falling.
|
Rate of Change: The rate of change signal is falling sharply and is signaling a bounce is likely but a lower close should be expected.
|
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 resistance |
| 5900 is light 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 Tue Dec 10 2024
The technical indicators are signaling Tuesday will be lower for the index although a bounce attempt is a high probability. The bounce will probably be in the morning before more profit-taking occurs.
There are no economic reports that should affect stocks on Tuesday. A lower close is likely.
Potential Economic and Political Market Moving Events
Monday:
10:00 Wholesale inventories are expected to rise to 0.2% from -0.2% prior.
Tuesday:
6:00 NFIB optimism index is expected to rise to 94.8 from 93.7
8:30 US Productivity for the 3rd quarter is expected to remain unchanged at 2.2%
8:30 Unit labor costs is expected to slip to 1.4% for the third quarter, down from 1.9% prior.