Economic news will be less prominent this week, but we will see a big options expiration on Friday. The most significant open interest level on the board is at 3,000, and one has to think that level may act as a magnet for the market, pulling the S&P 500 higher this week towards that strike price.
S&P 500
There is a path for the index (SPY) to reach 3,000 this week with a gap to fill at that level. But first, the index needs to get over resistance at 2,960, which does seem possible given that the relative strength index is still 58.
Amazon
If the index is going to make that run higher, it is going to need Amazon (AMZN) to be one of those stocks to help push it there. The stock has been holding an uptrend for the past two weeks, with a healthy level of resistance around 2,440. There is a bearish divergence forming with the RSI, which suggests the stock is likely to drift lower longer-term. However, the stock may just have enough juice left to keep it moving higher for one more week.
Apple
Apple (AAPL) may still have a little upside left too, but it is running short on room. The big question will be what happens to the stock after it fills the gap at $311. Meanwhile, the stock's RSI is approaching 70, and overbought levels.
Uber
Uber (UBER) is facing a severe level of resistance at $33, and after last week’s horrible results, I find it hard to believe that this one can continue to rise. I’m guessing it to comes back to $30.50.
Facebook (FB) has filled a gap too, and now its RSI is overbought with a reading of over 70. Not a good sign, as it means that stock is likely running out of steam, and reverses lower back to $191.
JD.com
JD.com (JD) is facing a bearish divergence on the RSI, and that means the stock may be topping out and on a path back to $42.80.
Eli Lilly
Eli Lilly (LLY) may be forming a head and shoulders pattern, and the stock needs to fall below $152 to confirm the potentially significant reversal lower. The RSI is already telling you the stock is losing momentum.
Amgen
Amgen (AMGN) is also facing the same pattern as Lilly, with a drop below $224, confirming the reversal pattern.
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