Prior Trading Day Summary:
On Monday the S&P faced a see-saw day with stocks ending slightly higher by the close.
The SPX rose 5 points to close at 5572, another new closing high.
The NASDAQ also rose, climbing 51 points to end the day at 18,403, also a new closing high.
Let’s review the technical indicators from the close on Mon Jul 8 2024 to see what to expect on Tue Jul 9 2024.
Stock Market Outlook: SPX Closing Chart For Mon Jul 8 2024
The index closed above the 21 day moving average and at the Upper Bollinger Band, at a new high.
The closing candlestick though indicates the index is very overbought and will dip on Tuesday.
The 21 day moving average is still climbing continuing the latest up signal.
The 50 day moving average is climbing which is bullish.
The 200 day moving average is still climbing. The 200 day is at 4975 which is bullish and the 100 day is also climbing to 5208..
The Lower Bollinger Band moved higher above the 50 day moving average which is bullish. The Upper Bollinger Band is turning higher which is also bullish.
The S&P chart is more bullish than bearish for Tuesday.
Stock Market Outlook: Technical Indicators Review
Momentum: Momentum is rising and positive.
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MACD Histogram: MACD (Moving Averages Convergence / Divergence) issued an up signal on Friday July 5. On Mon Jul 8 2024 the indicator shows a strong uptrend as developing.
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Ultimate Oscillator: The Ultimate Oscillator is rising and positive. It is overbought.
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Slow Stochastic: The Slow Stochastic has an up signal in place and is overbought.
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Relative Strength Index: The RSI signal is rising and positive. It is overbought.
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Rate of Change: The rate of change signal is falling signaling that Tuesday will end lower.
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Stock Market Outlook: Support and Resistance Levels |
| 5600 is resistance |
| 5575 is resistance |
| 5550 is resistance |
| 5520 is resistance |
| 5500 is resistance |
| 5490 is resistance |
| 5475 is resistance |
| 5465 is resistance |
| 5450 is resistance |
| 5425 is resistance |
| 5400 is support |
| 5375 is support |
| 5350 is support |
| 5325 is support |
| 5310 is support |
| 5300 is support |
| 5275 is support |
| 5250 is light support |
| 5225 is light support |
Stock Market Outlook for Tue Jul 9 2024
For Tuesday the technical indicators are showing a strong bias to overbought and the market, due for a rest.
Watch for dips today which could, at times, be deeper than anticipated.
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Potential Economic and Political Market Moving Events
The biggest economic events this week are Fed Chair Powell’s House testimony on Wednesday, CPI numbers on Thursday and PPI numbers of Friday.
Monday:
3:00 Consumer credit was expected to come in at $8 billion, but came in at $11.4 billion which shows strength from consumers.
Tuesday:
6:00 NFIB optimism index which is expected to remain flat at 90.3
10:00 Fed Chair Powell testifies to congress