Good morning traders!
The S&P 500 ($SPY) is trading near yesterday’s close. Let’s get into it…
Yesterday leaves traders questioning whether the bear market can climb higher after yesterday’s turmoil. The market will bottom out eventually, but until the Fed adjusts its policy or profits are fairly valued; it’s hard to give a fair guess if we have hit a bottom yet. This is not to say bounces can’t happen in the near term, but the overall trend is still quite bearish. Numerous Wall Street analysts have underlined that values still do not adequately reflect the reduced earnings that coincide with the current slowdown in economic development and have cited future earnings predictions are still too high as evidence. We advise everyone to size down, and trade with caution as the market could go either direction very quickly; especially as political, geo-political, and inflation uncertainty is on the rise.
In the news, Tesla stock fell on weak revenue numbers; Despite Chief Executive Elon Musk’s predictions of an “epic” fourth quarter. Airline stocks moved higher this morning following earnings from American Airlines ($AAL) and Alaska Air Group ($ALK). Also in the news, Chinese officials showed the first signs of loosening the nation’s strict Covid regulations.
Potential Intraday Resistance Levels:
10/18/22 High of Day: $375.45
200D SMA (4hr): $376.45
Potential Intraday Support Levels:
10/19/22 Low of Day: $365.55
Note: Moving averages are reported from the previous trading session and will change during the next trading session.
Thursday Economic Events:
Initial Jobless Claims 8:30am ET – High Volatility Expected
Philly Fed Mfg Index 8:30am ET – High Volatility Expected
Existing Home Sales 10:00am ET
Leading Indicators 10:00am ET – High Volatility Expected
EIA Natural Gas Report 10:30am ET
Fed Speaker Scheduled:
Patrick Harker 12:00pm ET
Phillip Jefferson 1:30pm ET
Lisa Cook 1:45pm ET
Michelle Bowman 2:05pm ET
This article provided by the DailyBubble team should only be considered as informational and/or entertainment by the reader. DailyBubble makes no representation to buy or sell any security or financial instrument within the article. Readers seeking investment advice should seek independent financial advice from a professional, and independently research and verify. The DailyBubble team wrote this article and may express its own opinions therein.