S&P500 outlook for the coming week (03Jun24) - using 20+ technical indicators

KYHBKO
06-02

Market Outlook of S&P500 - 03Jun24

Observations:

  • The MACD indicator has completed a top crossover and we should expect the down trend to continue.

  • Chaikin Money Flow (CMF) has crossed the zero line in the middle which implies an uptrend. There is more buying volume than selling. For the index to drop, the selling volume needs to be more than the buying volume.

  • Moving Averages (MA). Both the MA50 line and the MA200 line are on an uptrend. The last candle is above both the MA 50 line and the MA 200 line. Thus, it could be read as bullish for the long term and the mid-term. With the current trend, the candle should cut the MA 50 line soon.

  • Exponential Moving Averages (EMA). The 3 EMA lines are on an uptrend. The lines are converging and should do so in the coming days.

  • I have replaced Stochastic with CMF to incorporate consideration of volume. Stochastic and MACD are similar with Stochastic being “more active” and more capable for “false” signals.

From the technical indicators above, investing has recommended a “Strong Buy”. There are 16 indicators showing a “BUY” rating and 6 showing a “SELL” rating.

From the technical indicators above, I am expecting the downtrend to continue into the coming week. The CMF indicator needs to trend downward before we confirm a downtrend, supported with a selling momentum.

@TigerStars

$SPDR S&P 500 ETF Trust(SPY)$

$S&P 500(.SPX)$

Market Pullback Begins? Sell or Hedge?
After reaching a high of 5341, the market began to pull back, closing at 5266 points last night. ---------------------------- Having reached the target ahead of schedule, what will happen in the market in the next 7 months? Following the new high in May, where will the market retrace to next? Will you sell stocks to take profit or hedge? Or will you hold firm?
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap
Leave a comment
1