Stock Market Outlook for Tue May 18 2021 – Choppy – Dips Likely – But Higher Close

Mon May 17 2021 saw the index slip to just below 4150 but fail to come close to Friday’s low of 4130. The close was strong with the index back at the 21 day moving average ending the day at 4163, down just 10 points. The NASDAQ followed the S&P and closed above the 10 day moving average at 13379.

Stock Market Outlook Chart Comments At The Close on Mon May 17 2021 

The Bollinger Bands are continuing to widen which is a bullish sign.

The closing candlestick is bearish for Tuesday but often after the events of last week, it isn’t surprising to see a bearish candlestick appear on Monday.

The index is at the 21 day moving average and should move above it on Tuesday.

Meanwhile the 21 day moving average has dipped but the 50, 100 and 200 day are still climbing.

The chart has turned back to bullish. Tuesday should end higher.

Stock Market Outlook review of Mon May 17 2021

Stock Market Outlook: Technical Indicators Review:

Momentum: Momentum is negative and falling again.

• Settings: For momentum I use a 10 period when studying market direction.

MACD Histogram: MACD (Moving Averages Convergence / Divergence) issued a down signal on Friday April 30 2021. On Monday the down signal was slightly weaker than we saw on Friday.

• Settings: For MACD Histogram, I am using the Fast Points set at 13, Slow Points at 26 and Smoothing at 9. 

Ultimate Oscillator: The Ultimate Oscillator is rising for a second straight day.

• Settings: The Ultimate Oscillator settings are: Period 1 is 5, Period 2 is 10, Period 3 is 15, Factor 1 is 4, Factor 2 is 2 and Factor 3 is 1. These are not the default settings but are the settings I use with the S&P 500 chart set for 1 to 3 months.

Slow Stochastic: The Slow Stochastic has an up signal in place which is stronger for Tuesday.

Settings: For the Slow Stochastic I use the K period of 14 and D period of 3. The Slow Stochastic tries to predict the market direction further out than just one day.

Relative Strength Index: The RSI signal is falling..

• Settings: The relative strength index is set for a period of 5 which gives it 5 days of market movement to monitor.  It is often the first indicator to show an overbought or oversold signal.

Rate of Change: The rate of change signal is falling.

• 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.

Support and Resistance Levels To Be Aware Of:

4250 is resistance

4225 is resistance

4200 is resistance

4150 is light support

4100 is light support

4070 is very light support

4050 is light support and where the 50 day is currently residing. This would represent a 4.4% decline.

4000 is good support

3900 is support and just below the 100 day moving average.

3850 is support

3800 is support

3750 is good support

3700 is light support and just below the 200 day moving average.

3680 is light support

3600 is strong support

 Stock Market Outlook for Tomorrow – Tue May 18 2021 

For Tuesday there are some mixed technical indicators but important signals like the Slow Stochastic pointing higher and MACD losing some strength to the down signal are bullish signals for Tuesday. It will be a choppy day and dips will occur but the close should see the index above the 21 day moving average.

It won’t be a straight line up on Tuesday but choppiness and dips will be opportunities to setup more trades.

Stock Market Outlook Archives

Stock Market Outlook For Wed May 6 2026 – Choppy But Higher Still

Prior Trading Day Summary On Tuesday stocks again shook off Middle East worries and climbed higher. The SPX made another new intraday high as it reached 7273. The index closed ....... Read More

Morning Investing Strategy Notes for Tue May 5 2026

For FullyInformed Members the morning Investing Strategy Notes for Tue May 5 2026 look at the dip on Monday and the chance for another lower close today. There are a ....... Read More

Stock Market Outlook For Tue May 5 2026 – Overbought and Lower

Prior Trading Day Summary On Monday stocks saw some minor pressure and ended the day slightly lower. The SPX lost 29 points to close at 7200 on 5.2 billion shares ....... Read More

Morning Investing Strategy Notes for Mon May 4 2026

For FullyInformed Members the morning Investing Strategy Notes for Mon May 4 2026 look at the chance for a lower close. There are a large number of equities discussed in ....... Read More

Stock Market Outlook For Mon May 4 2026 – Dips Likely With Possible Lower Close

Prior Trading Day Summary On Friday stocks continued to push higher on the back of better than estimated earnings from a number of large cap companies. With their stocks continuing ....... Read More

Morning Investing Strategy Notes for Fri May 1 2026

For FullyInformed Members the morning Investing Strategy Notes for Fri May 1 2026 look at the chance for another closing new high on Friday. There are a large number of ....... Read More

Stock Market Outlook For Fri May 1 2026 – Overbought But Higher

Prior Trading Day Summary On Thursday earnings from a number of big cap stocks like Alphabet Stock (GOOGL) and Eli Lilly Stock (LLY) helped to push the indexes to new ....... Read More

Morning Investing Strategy Notes for Thu Apr 30 2026

For FullyInformed Members the morning Investing Strategy Notes for Thu Apr 30 2026 look at the odds of a lower day. There are a large number of equities discussed in ....... Read More

Stock Market Outlook For Thu Apr 30 2026 – Dips Likely Possible Lower Close

Prior Trading Day Summary On Wednesday the SPX closed slightly lower while the NASDAQ closed higher ending the day with a mixed outlook. The SPX fell 3 points to close ....... Read More

Morning Investing Strategy Notes for Wed Apr 29 2026

For FullyInformed Members the morning Investing Strategy Notes for Wed Apr 29 2026 look at expectations for profits on Wednesday and especially Thursday. There are a large number of equities ....... Read More

Stock Market Outlook For Wed Apr 29 2026 – Choppy But Higher Ahead Of More Earnings

Prior Trading Day Summary On Tuesday both the SPX and NASDAQ lost a little ground but the bigger earnings are set to be released starting tomorrow. The SPX fell 35 ....... Read More

Morning Investing Strategy Notes for Tue Apr 28 2026

For FullyInformed Members the morning Investing Strategy Notes for Tue Apr 28 2026 look at anticipated market action for today. There are a number of equities discussed in today's morning ....... Read More

• 1
• 2
• 3
• …
• 576
• ›