Prior Trading Day Summary:
On Tuesday the CPI numbers were actually a bit higher than expected but investors decided that the CPI numbers were not high enough for the Fed to not consider rate cuts probably earlier rather than later. By the end of the day the indexes had impressed with large moves higher.
The SPX was up 57 points which was the highest rally since Feb 13. The SPX ended at 5175.
The NASDAQ jumped 246 points for the highest rally since Feb 22. The NASDAQ ended the day at 16,265.
Let’s review Tue Mar 12 2024 to see what to expect for Wed Mar 13 2024.
Stock Market Outlook: SPX Closing Chart For Tue Mar 12 2024
The index closed at the Upper Bollinger Band which is bullish.
The closing candlestick is signaling a higher day on Wednesday but also a potential dip as seen from the long shadow. We could see weakness then in the morning and then a higher close.
The 21 day moving average is moving higher which is bullish. It is at 5070 on the SPX.
The 50 day moving average is rising and at 4930, which is bullish.
The 100 and 200 day moving averages are climbing which is bullish. The 200 day is at 4592 on the SPX which is bullish.
The Bollinger Bands are still in a Bollinger Bands Squeeze. The Lower Bollinger Band is still undecided with further signs of a coming dip.
The S&P chart is more bullish than bearish for Wednesday.
Stock Market Outlook review of Tue Mar 12 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 a down signal on Tue Mar 5. On Tue Mar 12 2024 the down signal lost most of its strength.
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Ultimate Oscillator: The Ultimate Oscillator is rising and positive.
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Slow Stochastic: The Slow Stochastic has a weak down signal in place and is slightly overbought.
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Relative Strength Index: The RSI signal is rising, positive and entering overbought.
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Rate of Change: The rate of change signal is rising and signaling a higher day is expected on Wednesday.
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Stock Market Outlook: Support and Resistance Levels |
| 5225 is resistance |
| 5200 is resistance |
| 5190 is resistance |
| 5175 is resistance |
| 5150 is resistance |
| 5125 is resistance |
| 5115 is resistance |
| 5100 is resistance |
| 5090 is resistance |
| 5075 is resistance |
| 5050 is resistance |
| 5025 is resistance |
| 5010 is resistance |
| 5000 is resistance |
| 4990 is resistance |
| 4975 is light support |
| 4950 is support |
| 4925 is support |
| 4915 is support |
| 4900 is support |
| 4875 is support |
| 4850 is support |
Stock Market Outlook for Wed Mar 13 2024
For Wednesday the technical indicators are signaling a dip is expected, probably in the morning but a higher close is anticipated. On Wednesday there are no economic reports which usually means a higher day for the bulls.
Potential Economic and Political Market Moving Events
This is a busy week for reports with CPI on Tuesday and PPI on Thursday.
Monday:
No economic reports due out.
Tuesday:
8:30 Consumer price index for February came in at 0.4%, up slightly from January’s 0.3%.
8:30 Core CPI came in at 0.4%
8:30 CPI year-over-year rose to 3.2% slightly higher than consensus.
8:30 Core CPI year-over-year was at 3.8% slightly higher than forecast.
Wednesday:
No economic reports