Market Analysis: Wall Street Awaits Earnings from Tesla and Netflix

FXOpen

According to Yahoo Finance, the third-quarter earnings season started well despite the uncertain macroeconomic environment.

Already, 32 companies in the S&P 500 have reported earnings, according to Bank of America Research's equity strategy group. Moreover:
→ actual earnings per share exceeded Wall Street expectations by an average of 9%;
→ EPS increased 1% compared to the same quarter last year, which is a positive sign.

This week's headliners could be reports from Tesla and Netflix, which are important components of the S&P 500 and Nasdaq indices.

Meanwhile, the S&P 500 Index chart shows its price:
→ pushed off from the lower border of the ascending channel;
→ has already exceeded the median line of the descending channel.

So the decline, which has been going on since early August, could become a technical correction as part of a longer-term rally. Barriers to its resumption may be:
→ upper boundary of the downward channel;
→ level 4,440, which served as support, but was broken by a strong bearish impulse on September 20-21.

Are bulls up to this task? If the news from Tesla and Netflix (expected tomorrow) turns out to be positive, it will help a good earnings season and a corresponding rise in the S&P 500 index amid global tensions.

Trade global index CFDs with zero commission and tight spreads. Open your FXOpen account now or learn more about trading index CFDs with FXOpen.

This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

Latest from Indices

S&P 500 Analysis: Good News is Bad News Tech Stocks Back in Vogue as Nasdaq 100 Rallies to Record High The S&P 500 Index Has Reached a Significant Resistance Level France Joins European Stock Boom as CAC 40 Index Heads for Highs The Hang Seng Index Has Risen by Over 13% in 2 Weeks

Latest articles

Forex Analysis

GBP/JPY at Highest Level in Over 15 Years

As shown by today's GBP/JPY chart, the exchange rate has not only surpassed the psychological level of 200 yen per pound but has also exceeded the peak of 29 April 2024. The market is now experiencing prices last seen

Shares

Elon Musk Contributes to NVDA Price Surge to a New Record

Yesterday, on Tuesday, Nvidia's stock price reached a historic high, surpassing the $1,130 mark, increasing by almost 7% relative to Monday's closing price. This happened after a turbulent past week, during which Nvidia published a very strong report that

What Is a Falling Knife in Trading?
Trader’s Tools

What Is a Falling Knife in Trading?

It’s often repeated that traders should ‘never catch a falling knife.’ This phrase highlights the risks of buying into a rapidly declining asset. Understanding what a falling knife is, its causes, and strategies for trading it may help traders

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 60% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.