FXStreet notes that the S&P 500 Index has rebounded off September’s correction but has also pulled back from October’s highs around 3,550. Nathan Peterson from Charles Schwab expects the index to remain rangebound while the VIX is set to stay within a 25-30 range as well.

“The VIX has been in a trading range of roughly 25-30 over the past six weeks and it’s likely to stay within this range until after the elections.” 

“If there is uncertainty around the outcome of the elections this could result in an uptick in the VIX, but it feels to me like the higher probability is that the VIX heads back down towards the low 20s by mid-November, and potentially even lower than that (18-20).” 

“It feels to me that the most likely scenario between now and the elections is that the S&P 500 remains sandwiched within a range of roughly 3,400 (which coincides with the 50-day SMA) and that October high of 3,550, so my near-term outlook calls for choppy, sideways action.”      

U.S. stock-index futures plunged on Monday amid news that talks between the White House and House Democrats on a new fiscal stimulus package remained at a stalemate and the U.S. hit a new daily record for coronavirus cases.

Global Stocks:

FXStreet notes that S&P 500 is seen finely balanced near term and needs to hold 3420/15 to maintain an upward bias with resistance seen at 3477. The VIX though has moved sharply higher this morning and the Credit Suisse analyst team watches resistance from the 31.18 late September high. 

“The S&P 500 continues to hold the 38.2% retracement of its September/October rally at 3420, but is unable to make a decisive break higher and with the US election getting closer the immediate outlook stays finely balanced.” 

“For now, we continue to look for 3420/15 to try and hold with resistance seen at 3477 initially, above which is needed to clear the way for a move back to 3516, then the potential downtrend from early September, today seen at 3536. Above 3550 remains needed to open the door to a challenge on the 3588 record high.” 

“The VIX has moved sharply higher this morning and we watch resistance from the 31.18 late September high. Above here would mark a base to warn of a more concerted move higher, with resistance then seen next at 36.25.”

(company / ticker / price / change ($/%) / volume)

Starbucks (SBUX) target raised to $97 from $89 at RBC Capital Mkts

Apple (AAPL) resumed with an Overweight at Atlantic Equities; target $150

October 27

Before the Open:

3M (MMM). Consensus EPS $2.27, Consensus Revenues $8380.39 mln

Caterpillar (CAT). Consensus EPS $1.17, Consensus Revenues $9779.54 mln

Merck (MRK). Consensus EPS $1.43, Consensus Revenues $12213.18 mln

Pfizer (PFE). Consensus EPS $0.71, Consensus Revenues $12298.26 mln

Raytheon Technologies (RTX). Consensus EPS $0.50, Consensus Revenues $15157.09 mln

After the Close:

Advanced Micro (AMD). Consensus EPS $0.31, Consensus Revenues $2561.16 mln

Microsoft (MSFT). Consensus EPS $1.36, Consensus Revenues $35780.60 mln

October 28

Before the Open:

Boeing (BA). Consensus EPS -$2.20, Consensus Revenues $14201.02 mln

General Electric (GE). Consensus EPS -$0.03, Consensus Revenues $18943.65 mln

MasterCard (MA). Consensus EPS $1.66, Consensus Revenues $3955.33 mln

UPS (UPS). Consensus EPS $1.89, Consensus Revenues $20261.65 mln

Yandex N.V. (YNDX). Consensus EPS RUB21.83, Consensus Revenues RUB57894.62 mln

After the Close:

Amgen (AMGN). Consensus EPS $3.74, Consensus Revenues $6363.34 mln

eBay (EBAY). Consensus EPS $0.84, Consensus Revenues $2639.69 mln

Ford Motor (F). Consensus EPS $0.18, Consensus Revenues $32901.31 mln

Visa (V). Consensus EPS $1.10, Consensus Revenues $5029.26 mln

October 29

Before the Open:

DuPont (DD). Consensus EPS $0.75, Consensus Revenues $5033.92 mln

Int'l Paper (IP). Consensus EPS $0.48, Consensus Revenues $5144.90 mln

United Micro (UMC). Consensus EPS $0.43, Consensus Revenues $44336.58 mln

After the Close:

Alphabet (GOOG). Consensus EPS $11.14, Consensus Revenues $42813.83 mln

Amazon (AMZN). Consensus EPS $7.15, Consensus Revenues $92463.12 mln

Apple (AAPL). Consensus EPS $0.70, Consensus Revenues $63732.88 mln

Facebook (FB). Consensus EPS $1.91, Consensus Revenues $19764.36 mln

Starbucks (SBUX). Consensus EPS $0.31, Consensus Revenues $6067.36 mln

Twitter (TWTR). Consensus EPS $0.05, Consensus Revenues $768.12 mln

October 30

Before the Open:

Altria (MO). Consensus EPS $1.16, Consensus Revenues $5383.63 mln

Chevron (CVX). Consensus EPS -$0.24, Consensus Revenues $26338.93 mln

Exxon Mobil (XOM). Consensus EPS -$0.24, Consensus Revenues $48356.88 mln

Honeywell (HON). Consensus EPS $1.49, Consensus Revenues $7649.90 mln