Prior Trading Day Summary:
On Tuesday the SPX ended the day with another slight gain, rising 9 points to close at 5833. Down volume was 66% and 67% of all stocks were falling however. We need to see that change this week if the index will move higher.
The NASDAQ made another new all-time high on Tuesday and closed up 145 points to end the day at 18,712. 58% of al volume was advancing for a stronger day than seen on the SPX. 45% of all stocks were rising on the NASDAQ.
There is an underlying weakness in both indexes but much of it is simply sideways motion while waiting for further earnings, October’s jobs numbers and the Nov 5 Elections. All of these are weighing on investors.
Let’s review the technical indicators from Tue Oct 29 2024 to see the outlook for Wed Oct 30 2024.
Stock Market Outlook: SPX Closing Chart For Tue Oct 29 2024
The index closed below the Upper Bollinger Band and just above the 21 day moving average. It fell to the 21 day moving average but bounced off it. This is bullish.
The closing candlestick is bearish for Wednesday.
The 21 day moving average is higher at 5795. This is bullish but the rise in the 21 day is slowing.
The 50 day moving average is higher at 5692 This is bullish.
The 100 day moving average is rising and closed at 5574which is bullish.
The 200 day moving average is in an uptrend and closed at 5337 which is bullish.
The Lower Bollinger Band is below the 50 day moving average which is bearish. The Upper Bollinger Band is turned sideways which is still bullish.
The S&P chart is more bullish than bearish which signals Wednesday should end higher.
SPX Stock Market Outlook review of Tue Oct 29 2024
Stock Market Outlook: Technical Indicators Review
Momentum: Momentum is rising and negative.
|
MACD Histogram: MACD (Moving Averages Convergence / Divergence) issued a down signal on Wed Oct 23 2024. On Tuesday the down signal was unchanged.
|
Ultimate Oscillator: The Ultimate Oscillator is rising and positive.
|
Slow Stochastic: The Slow Stochastic has a down signal in place which could turn back up shortly.
|
Relative Strength Index: The RSI signal is rising.
|
Rate of Change: The rate of change signal is falling signaling Wednesday may end lower.
|
Stock Market Outlook: Support and Resistance Levels |
| 5890 is resistance |
| 5875 is resistance |
| 5850 is resistance |
| 5815 is resistance |
| 5800 is resistance |
| 5790 is resistance |
| 5775 is resistance |
| 5765 is support |
| 5750 is support |
| 5725 is support |
| 5700 is support |
| 5680 is support |
| 5650 is support |
| 5625 is support |
| 5600 is support |
Stock Market Outlook for Wed Oct 30 2024
On Wednesday the index should open higher on the back of better than expected earnings from Alphabet, Reddit, Snap but could be tempered by disappointing earnings from Advanced Micro Devices, First Solar and Chipotle Mexican Grill.
ADP employment numbers may affect some of the morning but overall markets should stay bullish as investors await earnings from Microsoft, Meta, DoorDash, Roku, Starbucks today after the close and the October jobs numbers on Friday.
Potential Economic and Political Market Moving Events
Monday:
No economic reports
Tuesday:
9:00 S&P Case-Shiller home price index fell to 5.2%
10:00 Consumer confidence rose to 108.7, well beyond estimates
10:00 Job openings came in lower than expected at 7.44 million
Wednesday:
8:15 ADP employment is estimated to fall to 113,000 from 143,000
8:30 GDP is expected to rise to 3.1% from 3.0%
10:00 Pending home sales are expected to rise 0.7% from 0.6%