• 287 days Will The ECB Continue To Hike Rates?
  • 288 days Forbes: Aramco Remains Largest Company In The Middle East
  • 289 days Caltech Scientists Succesfully Beam Back Solar Power From Space
  • 689 days Could Crypto Overtake Traditional Investment?
  • 694 days Americans Still Quitting Jobs At Record Pace
  • 696 days FinTech Startups Tapping VC Money for ‘Immigrant Banking’
  • 699 days Is The Dollar Too Strong?
  • 699 days Big Tech Disappoints Investors on Earnings Calls
  • 700 days Fear And Celebration On Twitter as Musk Takes The Reins
  • 702 days China Is Quietly Trying To Distance Itself From Russia
  • 702 days Tech and Internet Giants’ Earnings In Focus After Netflix’s Stinker
  • 706 days Crypto Investors Won Big In 2021
  • 706 days The ‘Metaverse’ Economy Could be Worth $13 Trillion By 2030
  • 707 days Food Prices Are Skyrocketing As Putin’s War Persists
  • 709 days Pentagon Resignations Illustrate Our ‘Commercial’ Defense Dilemma
  • 710 days US Banks Shrug off Nearly $15 Billion In Russian Write-Offs
  • 713 days Cannabis Stocks in Holding Pattern Despite Positive Momentum
  • 714 days Is Musk A Bastion Of Free Speech Or Will His Absolutist Stance Backfire?
  • 714 days Two ETFs That Could Hedge Against Extreme Market Volatility
  • 716 days Are NFTs About To Take Over Gaming?
How Millennials Are Reshaping Real Estate

How Millennials Are Reshaping Real Estate

The real estate market is…

Strong U.S. Dollar Weighs On Blue Chip Earnings

Strong U.S. Dollar Weighs On Blue Chip Earnings

Earnings season is well underway,…

Market Sentiment At Its Lowest In 10 Months

Market Sentiment At Its Lowest In 10 Months

Stocks sold off last week…

Paul Rejczak

Paul Rejczak

Writer, Sunshine Profits

Stock market strategist, who has been known for quality of his technical and fundamental analysis since the late nineties. He is interested in forecasting market…

Contact Author

  1. Home
  2. Markets
  3. Other

Stock Trading Alert: Sentiment Improves As Investors Hope For More Uptrend

Stock Trading Alert originally published on July 14, 2014, 7:21 AM:


 

Briefly: In our opinion, no speculative positions are justified.

Our intraday outlook remains neutral, and our short-term outlook is neutral:

Intraday (next 24 hours) outlook: neutral
Short-term (next 1-2 weeks) outlook: neutral
Medium-term (next 1-3 months) outlook: neutral
Long-term outlook (next year): bullish

The main U.S. stock market indexes gained 0.2-0.6% on Friday, extending their recent move up, as investors' sentiment improved ahead of quarterly earnings releases, among others. Our Friday's neutral intraday outlook has proved accurate(link). The S&P 500 index extended its short-term consolidation, as it remained above month-long upward trend line. The resistance is at around 1,980-1,985, marked by July 3 all-time high of 1,985.59. The next resistance is at the psychological level of 2,000. On the other hand, the level of support remains at around 1,950-1,690, marked by recent local lows. For now, it looks like a flat correction within long-term uptrend, as we can see on the daily chart:

S&P500 Daily Chart
Larger Image

Expectations before the opening of today's session are positive, with index futures currently up between 0.3% and 0.4%. The European stock market indexes have gained 0.5-0.8% so far. Investors will now wait for some quarterly earnings releases. The S&P 500 futures contract (CFD) is in an intraday uptrend, following last week's downward correction. The nearest important resistance is at around 1,975, marked by recent highs, and the support level remains at 1,950-1,960, as the 15-minute chart shows:

S&P500 15-Minute Chart
Larger Image

The technology Nasdaq 100 futures contract (CFD) is relatively stronger, as it trades close to long-term high. The resistance level is at around 3,915-3,920, and the level of support is at 3,890-3,900, among others:

NASDAQ 100 Futures 15-Minute Chart
Larger Image

Concluding, the broad stock market extends its consolidation, as the S&P 500 index trades slightly below its early July all-time high. We remain neutral, as there may be some more volatility following medium-term uptrend. We think that it is better to stay out of the market at this moment, just to avoid low risk/reward ratio trades. Earnings season can be a time of increased volatility as investors react to news from the companies. So, it may be better to cut back on your trading or even move to the sidelines completely, especially following recent run-up. We'll let you know when we think it is safe to get back in the market.

Thank you.

 

Back to homepage

Leave a comment

Leave a comment