Prior Trading Day Summary:
On Tuesday stocks had a whipsaw day with the index falling to the 100 day moving average following weaker than estimated consumer confidence reading. By the close though the SPX had bounced and ended down only 28 points closing at 5955 on 5.5 billion shares traded, an increase of 400 million shares over Monday’s trading volume. By the close 57% of all stocks were advancing.
The NASDAQ fell 260 points to close at 19026 on 8.2 billion shares, an increase of 600 million shares over Monday’s trading. By the close 60% of stocks were falling.
With investors worried about NVIDIA (NVDA) earnings due out on Wednesday after the close, let’s review the SPX technical indicators from Tue Feb 25 2025 to see what to expect for Wed Feb 26 2025.
Stock Market Outlook: SPX Closing Chart For Tue Feb 25 2025
The index fell to the 100 day moving average before bouncing higher. The index ended bearish on Tuesday.
The closing candlestick has a long shadow which indicates a bounce is likely today.
The 21 day moving average is falling and closed at 6056 which is bearish.
The 50 day moving average is falling and closed at 6006 which is bearish.
The 100 day moving average is unchanged and closed at 5917 which is bearish.
The 200 day moving average is rising and closed at 5698 which is bullish.
The Lower Bollinger Band is falling which is bearish at present. The Upper Bollinger Band is trending sideways which is bearish. The Bollinger Bands Squeeze is ending and stocks are moving lower.
For Wednesday the SPX chart is more bearish than bullish but does indicate a bounce is likely on Wednesday, especially near the open.
SPX Stock Market Outlook review of Tue Feb 25 2025
Stock Market Outlook: Technical Indicators Review
Momentum: Momentum is falling and negative.
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MACD Histogram: MACD (Moving Averages Convergence / Divergence) issued a down signal on Mon Feb 21 2025. The down signal was stronger on Tue Feb 25 2025.
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Ultimate Oscillator: The Ultimate Oscillator is falling.
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Slow Stochastic: The Slow Stochastic has a down signal in place for a fourth day and is oversold.
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Relative Strength Index: The RSI signal is falling and signaling oversold.
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Rate of Change: The rate of change signal is turning sideways, signaling Wednesday may end flat to higher.
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Stock Market Outlook: Support and Resistance Levels |
| 6150 is resistance |
| 6125 is resistance |
| 6100 is resistance |
| 6090 is resistance |
| 6070 is resistance |
| 6050 is resistance |
| 6025 is resistance |
| 6015 is resistance |
| 6000 is support |
| 5990 is support |
| 5970 is support |
| 5950 is support |
| 5900 is support |
| 5890 is support |
| 5875 is support |
| 5850 is support |
Stock Market Outlook for Wed Feb 26 2025
For Wednesday markets may try to bounce ahead of NVIDIA (NVDA) earnings due out today after the close.
Technical indicators are very bearish and any bounce today does not signal the present pullback is over.
For Wednesday the SPX is set to end the day higher after a bounce,but more downside is expected unless NVIDIA earnings are a lot better than estimated.
Potential Economic and Political Market Moving Events
Monday:
No events
Tuesday:
9:00 S&P Case-Shiller home price index rose more than expected to 4.5%
10:00 Consumer confidence was weaker, coming in at 98.3
Wednesday:
10:00 New home sales are estimated to have fallen to 671,000.