The S&P 500 index has been trading within a narrow range, holding key levels around 7,600 to 7,620, which Woods views as a positive sign. However, the index's recent rebound to just under 7,750 is considered a lower high compared to its August peak of just under 7,800, indicating a potential stagnation.
Woods is particularly focused on oil prices, which spiked after Houthi militants attacked Saudi energy facilities, contributing to a slight decline in U.S. equities. He is monitoring Nvidia, which reached $230 but struggled to surpass the $235 resistance level, suggesting it may be forming a double top pattern. If Nvidia fails to break through, it could remain stuck between $220 and $230.
Additionally, Broadcom's recent earnings report saw its stock trade lower but maintain a critical support level at $350; a drop below this could lead to further declines. Woods is also keeping an eye on upcoming inflation data, with the producer price index and consumer price index releases potentially impacting market sentiment.
Lastly, he is watching Adobe's earnings for signs of continued momentum if it can hold above $250, and Oracle's performance regarding its debt issuance, which could influence its stock price relative to its 200-day moving average of $168