Weekend Stock Market Outlook

Stock Market Outlook For The Week of
September 15th = Uptrend

INDICATORS

ADX Directional Indicators: Uptrend
Price & Volume Action: Uptrend
Objective Elliott Wave Analysis: Uptrend

COMMENTARY

The stock market outlook remains in an uptrend; no change in the three signals (ADX, Price & Volume, and OEW).

One wildcard heading into the open this week is market's reaction to the attack on Saudi Arabian oil facilities this weekend.

Technical analysis of daily SPX prices

2019-09-15 - SPX Trendline Analysis - Daily

The S&P500 ($SPX) continues to trade above its 50-day moving average. Prices hit ~3021, just shy of the all time high, before heading lower during the week. Trading volume also picked up. ~3028 remains the ceiling for now.

Technical analysis of weekly SPX prices

2019-09-15- SPX Trendline Analysis - Weekly

The U.S. Federal Reserve will try to thread the needle this week, when it gives its next policy statement on Wednesday. Several inflation indicators came in higher last week and U.S. macroeconomic data remains positive. On the flip side, economic data in the rest of the world continues to weaken.

The European Central Bank cut interest rates last Thursday, and plans to restart stimulus programs. Both could weaken the euro against the dollar and drive up the price of U.S. exports.

Fed watchers expect a quarter-point rate cut, but just as important will be the commentary that goes along with it. Be too aggressive and risk signaling that the economy is weaker than the current US macro data suggests. Be too stoic and risk weakening the future macro data (not to mention a tweet-storm from President Trump).

Best to your week!


If you find this research helpful, please tell a friend. If you don't find it helpful, tell an enemy. I share articles and other news of interest via Twitter; you can follow me @investsafely. The weekly market outlook is also posted on Facebook and Linkedin.

Charts provided courtesy of stockcharts.com.

If you're interested in learning more about the relationship between price and volume, or how to find and trade the best stocks for your growth strategy, check out this book on Amazon via the following affiliate link: How to Make Money in Stocks: A Winning System in Good Times and Bad. It's one of my favorites.

For the detailed Elliott Wave Analysis, go to the ELLIOTT WAVE lives on by Tony Caldaro.

Once a year, I review the market outlook signals as if they were a mechanical trading system, while pointing out issues and making adjustments. The goal is to give you to give you an example of how to analyze and continuously improve your own systems.

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