• 824 days Will The ECB Continue To Hike Rates?
  • 824 days Forbes: Aramco Remains Largest Company In The Middle East
  • 826 days Caltech Scientists Succesfully Beam Back Solar Power From Space
  • 1,225 days Could Crypto Overtake Traditional Investment?
  • 1,230 days Americans Still Quitting Jobs At Record Pace
  • 1,232 days FinTech Startups Tapping VC Money for ‘Immigrant Banking’
  • 1,235 days Is The Dollar Too Strong?
  • 1,235 days Big Tech Disappoints Investors on Earnings Calls
  • 1,236 days Fear And Celebration On Twitter as Musk Takes The Reins
  • 1,238 days China Is Quietly Trying To Distance Itself From Russia
  • 1,238 days Tech and Internet Giants’ Earnings In Focus After Netflix’s Stinker
  • 1,242 days Crypto Investors Won Big In 2021
  • 1,243 days The ‘Metaverse’ Economy Could be Worth $13 Trillion By 2030
  • 1,243 days Food Prices Are Skyrocketing As Putin’s War Persists
  • 1,246 days Pentagon Resignations Illustrate Our ‘Commercial’ Defense Dilemma
  • 1,246 days US Banks Shrug off Nearly $15 Billion In Russian Write-Offs
  • 1,249 days Cannabis Stocks in Holding Pattern Despite Positive Momentum
  • 1,250 days Is Musk A Bastion Of Free Speech Or Will His Absolutist Stance Backfire?
  • 1,250 days Two ETFs That Could Hedge Against Extreme Market Volatility
  • 1,252 days Are NFTs About To Take Over Gaming?
What's Behind The Global EV Sales Slowdown?

What's Behind The Global EV Sales Slowdown?

An economic slowdown in many…

Another Retail Giant Bites The Dust

Another Retail Giant Bites The Dust

Forever 21 filed for Chapter…

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: Stocks Set To Open Higher Following Long Holiday Weekend - Will Uptrend Continue?

Stock Trading Alert originally published on September 2, 2014, 6:17 AM:


 

Briefly: In our opinion, speculative short positions are favored (with stop-loss at 2,030, and a profit target at 1,900, S&P 500 index)

Our intraday outlook is bearish, and our short-term outlook is bearish:

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

The U.S. stock market indexes gained 0.1-0.4% on Friday, extending their short-term consolidation along record highs, as investors remained optimistic ahead of long holiday weekend. The S&P 500 index remains close to last Wednesday's all-time high of 2,005.04. The level of resistance is at around 2,000-2,005, and the nearest important support level is at 1,985-1,990, among others. There have been no confirmed negative signals so far, however we still can see negative technical divergences, accompanied by some overbought condition which may lead to a downward correction:

S&P500 Daily Chart
Larger Image

Expectations before the opening of today's session are positive, with index futures currently up between 0.2% and 0.3%. The main European stock market indexes have gained 0.2-0.9% so far. Investors will now wait for some economic data releases: ISM Index, Construction Spending at 10:00 a.m. The Institute of Supply Management Index is based on surveys of manufacturing firms, as it monitors employment, production inventories, supplier deliveries and new orders. Investors await higher corporate profits when this index is increasing. The S&P 500 futures contract (CFD) is in an intraday uptrend, as it reaches new all-time high close to the level of 2,005. The nearest important support level remains at around 1,995-2,000, as we can see on the 15-minute chart:

S&P500 15-Minute Chart
Larger Image

The Nasdaq 100 futures contract (CFD) follows a similar path, as it trades closer to the level of 4,100. On the other hand, the nearest important level of support is at 4,070-4,080, marked by recent consolidation, as the 15-minute chart shows:

NASDAQ100 15-Minute Chart
Larger Image

Concluding, the broad stock market is expected to continue its long-term uptrend today. However, we remain cautiously pessimistic, maintaining our speculative short position with entry point at 2,005 - S&P 500 index. The stop-loss is at 2,030 and potential profit target is at 1,900 (S&P 500 index).

Thank you.

 

Back to homepage

Leave a comment

Leave a comment