Prior Trading Day Summary:
On Mon Jul 21 2025 stocks moved higher through most of the day but then in the afternoon gave back the gains. The SPX closed up 8 points to close at 6305. Intraday the index made another new high.
The NASDAQ closed up 78 points to end the day at 20,974 just a handful of points from 21,000.
Let’s review the technical indicators at the close on Mon Jul 21 2025 to see what to expect for Tue Jul 22 2025.
Stock Market Outlook: SPX Closing Chart For Mon Jul 21 2025
The index closed below the Upper Bollinger Band for the 11th day as it continues in a sideways trend.
The closing candlestick is bearish for Tuesday.
The 21 day moving average is rising and closed at 6206 which is bullish.
The 50 day moving average is rising and closed at 6041 which is bullish.
The 100 day moving average is rising and closed at 5935 which is bullish.
The 200 day moving average is rising and closed at 5803 which is bullish.
The Lower Bollinger Band is rising which is bullish. The Upper Bollinger Band is falling which probably signals another Bollinger Bands Squeeze coming up. If there is a squeeze at this level in the SPX we could see stocks pullback.
The SPX chart is more bullish than bearish heading into Tuesday but there are more signals that today could end lower.
SPX Stock Market Outlook review of Mon Jul 21 2025
Stock Market Outlook: Technical Indicators Review
Momentum: Momentum is rising and positive.
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MACD Histogram: MACD (Moving Averages Convergence / Divergence) issued a down signal on Tue Jul 15. On Mon Jul 21 2025 the down signal gained strength.
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Ultimate Oscillator: The Ultimate Oscillator is falling.
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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, signaling a higher 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 |
| 6325 is resistance |
| 6300 is resistance |
| 6250 is resistance |
| 6225 is resistance |
| 6200 is resistance |
| 6175 is resistance |
| 6150 is resistance |
| 6125 is resistance |
| 6100 is resistance |
| 6075 is resistance |
| 6050 is resistance |
| 6025 is support |
| 6000 is support |
| 5990 is support |
| 5975 is support |
| 5950 is support |
| 5925 is support |
| 5900 is support |
| 5850 is support |
| 5800 is support |
Stock Market Outlook for Tue Jul 22 2025
For Tue Jul 22 2025 the technical indicators are advising a choppy day lies ahead with a good chance the day will end lower.
Dips are still opportunities today. The possibility of a Bollinger Bands Squeeze later this week may signal a period of weakness coming up for stocks. The rally has been exceptional but a breather would not be unusual at this point in the race to new highs.
Potential Economic and Political Market Moving Events
Monday:
10:00 Leading economic indicators were lower than estimated at -0.3%
Tuesday:
There are no economic reports today