Equity Clock

Stock Market Outlook for October 22, 2026

Consumers look set to rely heavily on credit this holiday shopping season, providing a tailwind to consumer finance stocks.

*** Stocks highlighted are for information purposes only and should not be considered as advice to purchase or to sell mentioned securities. As always, the use of technical and fundamental analysis is encouraged in order to fine tune entry and exit points to average seasonal trends.

Stocks Entering Period of Seasonal Strength Today:

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Stock Highlight:
Salesforce.com, Inc. (NYSE:CRM) Seasonal Chart	Optimal holding period from October 22nd to March 16th A bull-flag pattern on the chart, supported by the upside gap charted around $220 in August, presents a good prospect for an upside resolution above prolonged horizontal resistance at $267 Revenue, Net Income, and Free Cash Flow have shown steady year-over-year gains

Roundhill BITKRAFT Esports & Digital Entertainment ETF (AMEX:NERD) Seasonal Chart

Snap Inc. (NYSE:SNAP) Seasonal Chart

Enerflex Ltd. (NYSE:EFXT) Seasonal Chart

Invesco S&P MidCap 400 Pure Growth ETF (NYSE:RFG) Seasonal Chart

Open Text Corp. (NASD:OTEX) Seasonal Chart

Celestica, Inc. (NYSE:CLS) Seasonal Chart

Innospec, Inc. (NASD:IOSP) Seasonal Chart

Disclaimer: Comments and opinions offered in this report are for information only. They should not be considered as advice to purchase or to sell mentioned securities. Data offered is believed to be accurate, but is not guaranteed.

The Markets

Optimism following the release of earnings from SpaceX (SPCX) helped to get the Technology sector off the floor on Wednesday, adding a bid to the broader market in the process.   The S&P 500 Index gained six-tenths of one percent, working its way back to the upper limit of the range that the benchmark has been in since August between 7620 and 7800; any reaction to this upper limit will be heavily scrutinized.  On Friday, the index broke below short-term rising trend channel support that had promoted the recent path of higher-highs and higher-lows in the past month.  The benchmark is struggling around 20 and 50-day moving averages and the 100-day moving average remains a critical line in the sand.  Weakening support raises concerns for the health of stocks moving forward. The market has reached the time of year when volatility starts to peak and roll over through the last couple of months of the year, thereby promoting strength in stocks, but the breakout in the VIX on Friday above declining trendline resistance provides the inkling that the instability that is leaching into the market may just be getting started.  As noted in this week’s chart books, there are segments following last week’s price action that we no longer want to be exposed to, but the market has provided rotation opportunities that allow us to maintain our overall equity exposure. Members can stay on top of our thinking and what we are watching in our regular reports, as well as view what we are targeting in our list of market segments to either Accumulate or Avoid.

Today, in our Market Outlook to subscribers, we discuss the following:

• Scrutinizing the price action in the Technology sector
• Consumer Spending Momentum and Consumer Finance stocks
• Our lone Accumulate candidate in the Consumer Discretionary sector
• The clouded view that metrics of oil supplies and demand is providing
• The opportunity should Oil prices decline
• Additional Thoughts

Subscribers can look for this report in their inbox or by clicking on the following link and logging in: Market Outlook for October 22

Sentiment on Wednesday, as gauged by the put-call ratio, ended bullish at 0.86.

Seasonal charts of companies reporting earnings today:

S&P 500 Index

TSE Composite

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