Prior Trading Day Summary:
On Tuesday the S&P and Dow Jones made new all-time highs once again. The S&P closed up 36 points to end the day at 5667. Volume rose on the index reaching 4.1 billion. 84% of all volume was being traded to the upside and 78% of al lstocks were climbing.
The NASDAQ closed up 37 points to end the day at 18,509.
It was another strong day for stocks.
Let review the technical indicators from Tue Jul 16 2024 to see what to expect on Wed Jul 17 2024.
Stock Market Outlook: SPX Closing Chart For Tue Jul 16 2024
The index closed above the 21 day moving average and at the Upper Bollinger Band. Both are bullish.
The closing candlestick indicates the index is somewhat overbought and dips could occur, especially yin the morning. However the signals advise that dips are opportunities as the index is continuing its advance.
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 5012 which is bullish and the 100 day is also climbing to 5255.
The Lower Bollinger Band is lower at the 50 day moving average which is neutral to bearish. The Upper Bollinger Band is climbing which is bullish.
The S&P chart is more bullish than bearish for Wednesday although the Lower Bollinger Band movement needs to be watched. Should it fall below the 50 day it could signal some further weakness in the rally.
SPX Stock Market Outlook review of Tue Jul 16 2024
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 Tue Jul 16 2024 the up signal gained strength.
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Ultimate Oscillator: The Ultimate Oscillator is rising and positive.
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Slow Stochastic: The Slow Stochastic has an up signal in place and is no longer 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 rising signaling that Wednesday should end higher.
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Stock Market Outlook: Support and Resistance Levels |
| 5675 is resistance |
| 5650 is resistance |
| 5630 is resistance |
| 5600 is resistance |
| 5575 is resistance |
| 5550 is resistance |
| 5520 is resistance |
| 5500 is resistance |
| 5490 is resistance |
| 5475 is resistance |
| 5465 is support |
| 5450 is support |
| 5425 is support |
| 5400 is support |
| 5375 is support |
| 5350 is support |
| 5325 is support |
| 5310 is support |
| 5300 is support |
Stock Market Outlook for Wed Jul 17 2024
For Wednesday the technical indicators are pointing to a higher close but also warn there will be dips, especially in the morning and near the close. The outlook though is still a higher close. The afternoon should end higher after the Fed’s Beige Book is released at 2:00 PM.
Potential Economic and Political Market Moving Events
Monday:
8:30 Empire State manufacturing survey is estimated to be unchanged at -6.0
12:00 Fed Chair Powell speaks.
Tuesday:
8:30 Retail sales rose to 0.0% basically flat after being at 0.3% prior.
8:30 Retail sales minus autos was expected to rise to 0.1% but rose to 0.4%
8:30 Import price index was expeced to rise to -0.2% from -0.4% but came in at 0.2% stronger than expected
10:00 Business inventories came in at 0.5% as expected
10:00 Home builder confidence fell to 42
Wednesday:
8:30 Housing starts are expected to come in at 1.30 million
8:30 Building permits are expected to come in at 1.40 million
9:15 Industrial production is expected to fall to 0.3%
9:15 Capacity utilization is estimated to be 78.5%
2:00 Fed’s latest Beige Book