Daily Price Outlook

Despite the robust U.S. growth figures, the global market sentiment has failed to turn positive, and it continues to show negative trends on Friday. Specifically, U.S. markets are facing a downturn, with the S&P 500 falling below 4,200 points after experiencing its worst one-day drop on the Nasdaq since February. However, this decline mirrors the performance of the European markets, as the STOXX 600 index has dropped by 1% and is hovering near a seven-month low, just ahead of the European Central Bank's (ECB) policy decision scheduled for Thursday.

Strong US Economic Data Supports Higher Interest Rates and Market Sentiment

Notably, the S&P 500 experienced a significant 2% drop on Thursday, just ahead of Fed Chair Powell's latest speech. Many people are awaiting guidance from the Federal Reserve Chair regarding the bank's potential actions at the upcoming meeting. It's anticipated that the Fed will maintain the current interest rates at 5.5% next week, despite the sustained strength of the U.S. economy. Furthermore, given the current impact of tensions in the Middle East, Powell may be inclined to provide reassurances about price stability. As of the time of this writing, the S&P 500 was trading 1.18% lower.

Although, the losses in the Standard & Poor's 500 major equity index might turn out to be short-lived, thanks to the strong U.S. growth figures that support the argument for prolonged higher interest rates. It is worth noting that the recent data revealed that the U.S. economy experienced its fastest expansion in almost two years during the third quarter. This growth was fueled by increased wages resulting from a tight labor market, which, in turn, boosted consumer spending.

Hence, this has heightened expectations that the Federal Reserve will continue to keep monetary conditions restrictive for an extended duration, leading to a rise in the dollar against various currencies.

Strong US Economic Data Supports Higher Interest Rates and Market Sentiment

On the economic data front, the US economy expanded by 4.9% in the third quarter, driven by robust consumer spending, surpassing expectations of 4.5%. Furthermore, there was a notable 4.7% increase in September in U.S. Durable Goods Orders, representing the most substantial rise since July 2020. Meanwhile, recent macroeconomic data from the U.S. continues to underscore the resilience of the economy, despite previous warnings of an impending recession.

Therefore, this economic strength should empower the Federal Reserve to sustain higher interest rates, subsequently offering support to market sentiment and acting as a favorable factor for the Standard & Poor's 500 major equity index.

S&P500 (SPX) - Technical Analysis

On October 27, the S&P500 exhibited a noticeable descent, settling at 4137.22, marking a reduction of 1.18% within a 24-hour span. When referring to the 4-hour chart, it’s clear that this benchmark index is currently wrestling with significant resistance and support levels. The pivot point, a crucial metric that traders often rely on to gauge potential price movement, stands firm at 4201. Immediate resistance is perceived at 4278, with subsequent levels at 4340 and 4399. On the converse, the immediate support is close to the day's low at 4131, with further supports expected at 4059 and a significant level at 4002.

Diving deeper into the technical indicators, the Relative Strength Index (RSI), a momentum oscillator that measures the speed and change of price movements, is currently at 28. This figure suggests an oversold condition, indicating potential upward price movement in the near term as the market could be due for a corrective bounce. However, one must also consider the broader trend, and currently, the price is trending below the 50-Day Exponential Moving Average (EMA50) of 4299. This is a classic bearish signal, suggesting a prevailing short-term downtrend.

When evaluating chart patterns, which are fundamental tools for traders, no definitive patterns are immediately discernible. However, it's essential to observe that the S&P500's current price levels are teetering close to significant support and resistance zones. This typically indicates that the market is at a crossroads, and traders should be on the lookout for potential breakouts or breakdowns.

In summary, the prevailing trend for the S&P500 is bearish, especially when the price is below the pivotal level of $4170. However, the RSI indicates potential oversold conditions, suggesting that a short-term rebound might be on the horizon. Traders and investors should keep a close eye on these key levels and indicators to gauge the market's next move.

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Daily Price Outlook

The global market sentiment has continued its bearish performance, displaying mixed signals throughout the day. On Thursday, the Standard & Poor's (S&P) 500 equity index fell by 36.60 points, closing down 0.85% at $4,278. This downward trend can be attributed to several factors, with one notable element being the disappointment among stock traders.

Federal Reserve Chairman Jerome Powell failed to meet the dovish expectations regarding the Fed's rate outlook. Powell's inability to provide a more accommodating stance on interest rates has left investors uncertain, potentially resulting in increased volatility in the S&P 500.

Meanwhile, Israeli airstrikes in the Gaza Strip have heightened tensions in the region. Moreover, Israel has initiated missile strikes in Lebanon and Syria, while Egypt has also been impacted by the conflict, notably with the bombing of the Rafah border crossing. Therefore, the news of escalating tensions in the Middle East, marked by Israeli airstrikes and regional conflict, introduces uncertainty that could potentially have a negative impact on the S&P 500.

Fed Chair's Cautious Remarks and Market Expectations

It's worth noting that Federal Reserve Chair Jerome Powell gave somewhat cautious comments while speaking at the Economic Club of New York. He mentioned that the Fed's policies are still somewhat strict, but they're ready to take action if inflation starts to rise again. These statements surprised investors, as they were hoping for a more clearly dovish stance from the Fed.

Notably, markets are currently indicating a 97% probability that the Fed will keep interest rates unchanged at their next meeting. However, Wall Street is anticipating any hints that the central bank might accelerate future rate cuts, currently projected for the latter half of 2024.

Market Performance: Dow Jones and NASDAQ Decline

In the U.S. stock market, the Dow Jones Industrial Average (DJIA) fell by 250.91 points, representing a 0.75% decrease, and closed at $33,414.17. At the same time, the tech-heavy NASDAQ Composite saw a nearly 1% drop, with a loss of 128.13 points, ending the day at $13,186.18, marking a 0.96% decrease.

S&P500 (SPX) - Technical Analysis

The S&P 500 Index (SPX) begins its session at 4277.99, suffering a decline of 1.06% in the past 24 hours. Analyzing its price activity on a 4-hour chart provides key levels that traders should keep an eye on. The pivot point is detected at $4,369, acting as a pivotal juncture for the asset's next movements. For traders looking towards an optimistic turn, immediate resistance looms at $4,404, followed by subsequent barriers at $4,451 and $4,502. Conversely, any downside moves would encounter immediate support at $4,288, with further cushions at $4,216 and $4,172.

When it comes to the technical indicators, the Relative Strength Index (RSI) records a value of 39. This is an indication of a prevailing bearish sentiment, given that any value below 50 is considered as such. Delving into the MACD, the main line has nosedived below its signal counterpart, standing at -5.040 relative to the signal's -0.5900. This formation underscores a potential bearish momentum in the offing. Further accentuating the bearish tones, the price currently trades below the 50 EMA, which stands at $4,346, signifying a short-term bearish trend.

Presently, no distinct chart patterns have manifested to provide further directional clues. However, this can rapidly change as the market evolves.

In synthesis, the SPX is demonstrating a bearish inclination, especially if it remains below the 4319 mark. Conversely, climbing above could indicate a potential shift in market sentiment. In the immediate timeframe, we might anticipate the SPX to gravitate towards testing the resistance at $4,404, with breaches or rebounds here crucial for subsequent price actions.

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Daily Price Outlook

The S&P 500 Index (SPX) begins its session at 4277.99, suffering a decline of 1.06% in the past 24 hours. Analyzing its price activity on a 4-hour chart provides key levels that traders should keep an eye on. The pivot point is detected at $4,369, acting as a pivotal juncture for the asset's next movements. For traders looking towards an optimistic turn, immediate resistance looms at $4,404, followed by subsequent barriers at $4,451 and $4,502. Conversely, any downside moves would encounter immediate support at $4,288, with further cushions at $4,216 and $4,172.

When it comes to the technical indicators, the Relative Strength Index (RSI) records a value of 39. This is an indication of a prevailing bearish sentiment, given that any value below 50 is considered as such. Delving into the MACD, the main line has nosedived below its signal counterpart, standing at -5.040 relative to the signal's -0.5900. This formation underscores a potential bearish momentum in the offing. Further accentuating the bearish tones, the price currently trades below the 50 EMA, which stands at $4,346, signifying a short-term bearish trend.

Presently, no distinct chart patterns have manifested to provide further directional clues. However, this can rapidly change as the market evolves.

In synthesis, the SPX is demonstrating a bearish inclination, especially if it remains below the 4319 mark. Conversely, climbing above could indicate a potential shift in market sentiment. In the immediate timeframe, we might anticipate the SPX to gravitate towards testing the resistance at $4,404, with breaches or rebounds here crucial for subsequent price actions.

S&P500 (SPX) - Trade Idea 

Entry Price – Sell Limit 4319.00

Take Profit – 4218.00

Stop Loss – 4393.00

Risk to Reward – 1: 1.3

Profit & Loss Per Standard Lot = +$1010/ -$740

Profit & Loss Per Micro Lot = +$101/ -$74

Daily Price Outlook

The global market sentiment has been flashing mixed signals and remained under pressure on the day. This can be witnessed by the Standard & Poor's 500 stock index, which experienced a significant drop on the day. However, this decline was mainly driven by the release of the US Consumer Price Index (CPI) data, which exceeded the predictions of experts.

It's important to understand that the Consumer Price Index (CPI) is a way to track how much the prices of everyday items are going up. In September, the CPI showed an annual increase of 3.7%. This number was about the same as the previous month, but it was a bit higher than what the market was hoping for, as they expected a smaller increase of 3.6%.

Hence, this unexpected increase in prices shook the stock market because it suggests that inflation is still a concern. This can reduce the value of money and worry investors. That's why the stock market moved down. This shows that the stock market is easily affected by economic data.

Hence, investors are closely monitoring these figures because they have the potential to influence the government's financial injections into the economy and the possible adjustments in interest rates. These, in turn, have an impact on the stock market.

Furthermore, the ongoing conflicts between Israel and the Palestinian Islamist group, Hamas, have significantly influenced global stock markets.

Inflation Concerns and Their Impact on the Financial Market

It is worth mentioning that recent reports suggest that the United States is currently facing unexpectedly high inflation rates, which poses a significant economic challenge. As a result, the Federal Reserve is considering the possibility of keeping interest rates higher for an extended period in an effort to control the growing inflation.

This situation has negatively impacted the stock market, leading to a drop in stock prices, although the US dollar remains strong. Looking ahead, market experts are speculating that the Federal Reserve might think about slightly lowering interest rates in 2024, but this could change because inflation is still going up. This situation shows that the financial world is complicated, and investors need to be watchful and ready to change their strategies based on economic news, government policies, and global market reactions.

S&P500 (SPX) - Technical Analysis

On October 13, the S&P500 (SPX) stands at 4340, experiencing a decrease of 0.62% within the last 24 hours. This observation is based on a 4-hour chart timeframe.

The pivot point for the index is pinpointed at 4357. Several significant resistance and support levels emerge around this pivot.

The immediate resistance is located at 4399, followed by subsequent resistances at 4447 and 4504. Should the index retract, immediate support might be felt at 4331, with the potential for steeper declines towards the support levels at 4287 and 4214.

Analyzing the technical indicators offers further insights. The Relative Strength Index (RSI) is currently at 54. An RSI value greater than 50 traditionally indicates bullish sentiment, suggesting a slightly positive momentum for the index.

In conclusion, the overall trend for the S&P500 (SPX) leans bearish, especially if the price sustains below the 4357 mark. On the flip side, surpassing this level could tilt the sentiment to bullish.

For short-term maneuvers, traders and investors should anticipate the index's movements around these delineated levels, especially with a potential test of the 4399 resistance in the forthcoming sessions.

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Daily Price Outlook

On October 13, the S&P500 (SPX) stands at 4340, experiencing a decrease of 0.62% within the last 24 hours. This observation is based on a 4-hour chart timeframe.

The pivot point for the index is pinpointed at 4357. Several significant resistance and support levels emerge around this pivot.

The immediate resistance is located at 4399, followed by subsequent resistances at 4447 and 4504. Should the index retract, immediate support might be felt at 4331, with the potential for steeper declines towards the support levels at 4287 and 4214.

Analyzing the technical indicators offers further insights. The Relative Strength Index (RSI) is currently at 54. An RSI value greater than 50 traditionally indicates bullish sentiment, suggesting a slightly positive momentum for the index.

The 50-Day Exponential Moving Average (EMA) is precisely at the pivot point, 4357. Since the current price is slightly below the 50 EMA, it signals a short-term bearish trend.

In conclusion, the overall trend for the S&P500 (SPX) leans bearish, especially if the price sustains below the 4357 mark. On the flip side, surpassing this level could tilt the sentiment to bullish.

For short-term maneuvers, traders and investors should anticipate the index's movements around these delineated levels, especially with a potential test of the 4399 resistance in the forthcoming sessions.

S&P500 (SPX) - Trade Idea 

Entry Price – Sell Limit 4330

Take Profit – 4445

Stop Loss – 4275

Risk to Reward – 1: 95

Profit & Loss Per Standard Lot = +$1150/ -$587

Profit & Loss Per Micro Lot = +$115/ -$58

Daily Price Outlook

The global market sentiment failed to stop its downward trend, and is still flashing red. Furthermore, the S&P 500, a key indicator of the U.S. stock market, reflects the state of the American economy and has recently shown noticeable instability. In addition, this volatility is an important way to gauge market conditions and indicates that there might be a turbulent period ahead.

Key Factors Affecting the S&P 500 in the Near Future

The S&P 500 has been experiencing frequent fluctuations, marked by its ups and downs. Moreover, investor confidence is being influenced by concerns related to the U.S. Federal Reserve's decisions on interest rates and the flow of economic data. Additionally, one significant factor causing market turbulence is the rise in U.S. Treasury yields.

These yields, which represent returns on government bonds, have been steadily increasing. Consequently, when yields go up, it raises worries about higher borrowing costs for businesses and individuals, which in turn creates uncertainty in the stock market. Therefore, investors are dealing with these uncertain market conditions.

Investors are keeping a close eye on several key factors that could influence the S&P 500 in the near future. Firstly, one of the most anticipated events is the monthly jobs report, which provides insights into the state of the U.S. labor market. Secondly, a strong job market can be seen as a positive sign for the economy, but it can also raise concerns about the Federal Reserve potentially raising interest rates.

Another factor to consider is corporate earnings reports. Furthermore, as we enter the third quarter, investors are eager to see how companies have been performing. Analysts are projecting a modest increase in earnings for S&P 500 companies compared to the previous year.

S&P500 (SPX) - Technical Analysis

On October 6, the S&P500 is trading at a price of 4387, as depicted in the 4-hour chart. Critical price points have emerged in the current landscape. The pivot point for the S&P500 is set at $4359. For those looking at potential barriers, there's immediate resistance at $4443, and following that, we have resistance levels at $4602 and $4686.

On the downside, the S&P500 sees its immediate support at $4203, with subsequent cushions found at $4116 and $3960.

From a technical standpoint, the Relative Strength Index (RSI) for the S&P500 stands at 34.59. This value, being below 50, signifies a bearish sentiment. However, approaching the 30-mark suggests the market could soon be in oversold territory, hinting at a potential trend shift or consolidation.

The current price of the S&P500 aligns closely with its 50-Day Exponential Moving Average (EMA) which is at $4387. This equilibrium suggests a possible turning point or decisive move in the offing.

Chart patterns further indicate a prevailing downward channel, supported by the selling indications from the 50 EMA, signifying potential continuation in the bearish momentum.

In conclusion, while the immediate trend for the S&P500 leans bearish, especially if prices remain below the pivot point of 4359, a break above this level might swing sentiments bullish.

Over the next trading sessions, the trajectory of the S&P500, based on its position relative to the 4359 pivot, could either lean towards the resistance at 4443 or seek the support zone near 4203.

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Daily Price Outlook

On October 6, the S&P500 is trading at a price of 4387, as depicted in the 4-hour chart. Critical price points have emerged in the current landscape. The pivot point for the S&P500 is set at $4359. For those looking at potential barriers, there's immediate resistance at $4443, and following that, we have resistance levels at $4602 and $4686.

On the downside, the S&P500 sees its immediate support at $4203, with subsequent cushions found at $4116 and $3960.

From a technical standpoint, the Relative Strength Index (RSI) for the S&P500 stands at 34.59. This value, being below 50, signifies a bearish sentiment. However, approaching the 30-mark suggests the market could soon be in oversold territory, hinting at a potential trend shift or consolidation.

The current price of the S&P500 aligns closely with its 50-Day Exponential Moving Average (EMA) which is at $4387. This equilibrium suggests a possible turning point or decisive move in the offing.

Chart patterns further indicate a prevailing downward channel, supported by the selling indications from the 50 EMA, signifying potential continuation in the bearish momentum.

In conclusion, while the immediate trend for the S&P500 leans bearish, especially if prices remain below the pivot point of 4359, a break above this level might swing sentiments bullish.

Over the next trading sessions, the trajectory of the S&P500, based on its position relative to the 4359 pivot, could either lean towards the resistance at 4443 or seek the support zone near 4203.

S&P500 (SPX) - Trade Idea 

Entry Price – Buy Limit 4223

Take Profit – 4343

Stop Loss – 4175

Risk to Reward – 1: 2.5

Profit & Loss Per Standard Lot = +$1200/ -$480

Profit & Loss Per Micro Lot = +$120/ -$48

Daily Price Outlook

When conducting a technical analysis of the S&P500 for September 29, it's crucial to consider several key factors. The chart timeframe under scrutiny is 4 hours, with the pivot point being established at $4365.

In terms of resistance, there are three primary levels to observe: immediate resistance at $4420, followed by the next resistances at $4519 and $4569.

Conversely, support levels are delineated at $4269, with subsequent support points at $4217 and $4122. Analyzing technical indicators provides deeper insights.

The Relative Strength Index (RSI) currently stands at 43, which hints at a slightly bearish sentiment since an RSI value below 50 typically signifies a bearish market stance.

In the MACD readings, a value of 7 and a signal of -26 were recorded. Interestingly, the MACD line's position above its signal line suggests potential bullish momentum.

The 50-day Exponential Moving Average (50 EMA) is at $4360, and since the price is marginally above this point, a short-term bullish trend can be inferred. Chart patterns further reveal a Fibonacci Retracement, with the 38.2% level pinpointed at $4325.

This level's breach, in either direction, could offer clues about the asset's forthcoming trajectory.

In the short term, it's anticipated that the S&P500 will endeavor to test the resistance stationed at $4420.

S&P500 (SPX) - Trade Idea 

Entry Price – Sell Below 4337

Take Profit – 4226

Stop Loss – 4408

Risk to Reward – 1: 1.5

Profit & Loss Per Standard Lot = +$111/ -$710

Daily Price Outlook

The global markets have been gaining momentum and rebounded on Friday, signaling a recovery for major US indices. The S&P 500, a key US stock gauge, turned around on Friday, gaining nearly 0.60% and settling just below $4,300. Although, this was a relief after a more than 5.0% drop from its September peak of around $4,540. Other major indices followed suit, with the Dow Jones Industrial Average (DJIA) rising 116 points to $33,666.34 (0.35%), and the tech-heavy Nasdaq Composite surging over 0.80% to $13,201.28.

As we all are well aware, the month of September has been challenging for stocks due to recession and government shutdown concerns, but the pause in selling and Treasury yield hikes allowed for this rebound, ahead of the critical US Personal Consumption Expenditure (PCE) Price Index release on Friday.

US Dollar Strength and Federal Reserve Focus

Investors are keeping a close eye on the strength of the US Dollar (USD). Despite lackluster US economic data on Thursday, their primary focus is on the Federal Reserve's efforts to support the USD. Just last week, the central bank cautioned that ongoing inflation in the US could lead to another interest rate hike before the year's end. This highlights the significance of the upcoming US Core PCE Price Index release. It will shape market expectations about the Fed's future actions, influencing demand for the USD and giving new impetus to various currency pairs.

Upcoming US PCE Inflation Measure and Market Expectations

Looking forward, the focus is on the upcoming US PCE inflation measure, expected to hold steady at 0.2% for August. This data is critical as it helps shape market expectations regarding the Federal Reserve's future moves. The Fed is keenly watching inflation, and its actions can impact the value of the US Dollar (USD) and, in turn, influence the broader financial markets.

S&P500 (SPX) - Technical Analysis

When conducting a technical analysis of the S&P500 for September 29, it's crucial to consider several key factors. The chart timeframe under scrutiny is 4 hours, with the pivot point being established at $4365.

In terms of resistance, there are three primary levels to observe: immediate resistance at $4420, followed by the next resistances at $4519 and $4569.

Conversely, support levels are delineated at $4269, with subsequent support points at $4217 and $4122. Analyzing technical indicators provides deeper insights.

The Relative Strength Index (RSI) currently stands at 43, which hints at a slightly bearish sentiment since an RSI value below 50 typically signifies a bearish market stance.

In the MACD readings, a value of 7 and a signal of -26 were recorded. Interestingly, the MACD line's position above its signal line suggests potential bullish momentum.

The 50-day Exponential Moving Average (50 EMA) is at $4360, and since the price is marginally above this point, a short-term bullish trend can be inferred. Chart patterns further reveal a Fibonacci Retracement, with the 38.2% level pinpointed at $4325.

This level's breach, in either direction, could offer clues about the asset's forthcoming trajectory.

In the short term, it's anticipated that the S&P500 will endeavor to test the resistance stationed at $4420.

Daily Price Outlook

The global market is currently showing mixed sentiment with a hint of caution. Asian markets, in particular, are displaying this mixed sentiment with a slightly negative bias. This caution is primarily due to concerns about the US Federal Reserve's recent hawkish stance on interest rate increases. Investors are carefully watching how this might affect the overall trajectory of interest rates, which is contributing to the uncertainty and mixed feelings in the markets.

Market Sentiment Impacted by Federal Reserve's Hawkish Stance and Strong USD

It's important to note that the broad-based US Dollar remains strong due to the Federal Reserve's hawkish stance. They have maintained high interest rates, hinting at a potential hike this year and fewer rate cuts in 2024. This has pushed US Treasury bond yields, affecting the market sentiment. Also, an unexpected drop in US weekly jobless claims added to the momentum. However, the Fed's plan to maintain higher rates for an extended duration raises worries regarding its potential impact on the economy.

The news has underminned market sentiment, as investors are concerned about the economic effects of the Federal Reserve's commitment to keeping interest rates high for an extended period.

Global Market Snapshot and Potential Impact on S&P 500

China's SSE Composite Index is up by 0.68% to 3,105, and Shenzhen Component Index has risen by 1.02% to 10,083. Hong Kong's Hang Seng Index is at 17,846, showing an increase. However, Tokyo's Nikkei 225 is down by 0.42% at 32,433, and South Korea's Kospi is down by 0.30%. Taiwan's Weighted Index has improved by 0.21%.

In Australia, the ASX 200 is down by 0.14% due to low commodity prices affecting the mining sector. Japan's Nikkei 225 index initially dropped after the Bank of Japan's decision to maintain its dovish monetary policy, disappointing investors anticipating hawkish signals.

In India, the Nifty 50 index has advanced to 19,761, showing a gain of 0.10%. However, caution persists due to rising tensions in the diplomatic dispute between India and Canada, linked to allegations surrounding a Sikh secessionist leader's killing.

Hence, the positive trends in China's and Hong Kong's markets may bolster global sentiment, potentially impacting the S&P 500 positively. Conversely, Japan and South Korea's downturns, along with caution in India, might introduce a hint of uncertainty.

S&P500 (SPX) - Technical Analysis

The prominent stock market index, the S&P 500, is displaying a pronounced bearish trend, declining by nearly 3% to stand at $4,336. This level serves as a pivotal support, underscored by a double bottom pattern at the same mark.

On the daily chart, the SPX has manifested two significant bearish engulfing candles, indicating a dominant bearish sentiment. Should the SPX breach the $4,336 threshold, it is poised to encounter subsequent support levels at $4,295 and possibly $4,261.

Conversely, the resistance is anchored at $4,377. A surge above this level could pave the way for the SPX to approach $4,440.