News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.



Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events


Economic Calendar

Economic Calendar Events

Free Trading Guides
Oil - US Crude
Wall Street
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
More View more
Real Time News
  • The Australian Dollar may extend its slide lower despite the planned easing of Covid-19 restrictions, as the market continues to price in an RBA rate cut on October 6. Get your #currencies update from @DanielGMoss here:
  • The Indian Rupee may be at risk to the US Dollar as USD/INR attempts to refocus to the upside. This is as the Nifty 50, India’s benchmark stock index, could fall further. Get your USD/INR market update here:
  • Technical indicators are chart analysis tools that can help traders better understand and act on price movement. Learn more about the importance of technical analysis here:
  • #Gold prices have plunged nearly 11% off the record highs with a breakout risking further losses. Here are technical trade levels that matter on the XAU/USD weekly chart. Get your #metals update from @MBForex here:
  • Traders tend to overcomplicate things when they’re starting out in the forex market. This fact is unfortunate but undeniably true.Simplify your trading strategy with these four indicators here:
  • GBP turbulence persists as investors eye the next round of EU-UK Brexit negotiations. Cautious optimism signals a deal is near. Get your #currencies update from @JMcQueenFX here:
  • An economic calendar is a resource that allows traders to learn about important economic information scheduled to be released. Stay up to date on the most important global economic data here:
  • Many people are attracted to forex trading due to the amount of leverage that brokers provide. Leverage allows traders to gain more exposure in financial markets than what they are required to pay for. Learn about FX leverage here:
  • There is a great debate about which type of analysis is better for a trader. Is it better to be a fundamental trader or a technical trader? Find out here:
  • Entry orders are a valuable tool in forex trading. Traders can strategize to come up with a great trading plan, but if they can’t execute that plan effectively, all their hard work might as well be thrown out. Learn how to place entry orders here:
S&P 500 to Look Elsewhere for Support After Disappointing Earnings

S&P 500 to Look Elsewhere for Support After Disappointing Earnings

2018-10-25 20:55:00
Peter Hanks, Analyst

Talking Points:

  • Amazon and Google narrowly missed on revenue but posted stellar earnings per share
  • Intel delivered a beat across the board and subsequently traded higher in after-hours
  • Given the current equity climate, the mixed results could prove troublesome in tomorrow’s session

After US equities staged a rather significant rebound Thursday, three of the country’s largest technology companies reported third quarter earnings after the close. FANG members Amazon and Alphabet (Google’s parent company) were accompanied by Intel and many investors were hopeful they could provide the spark needed for markets to rebound further.

Tech stocks and the broader NASDAQ index have been a pillar of the recent growth realized by US equities but have fallen significantly in October's rout along with the broader markets. Still, FANG remains healthily in the green. Conversely, Wednesday’s decline saw the broader indexes effectively surrender their gains for the year-to-date.

Tech Stocks Have Lost Their Luster

NASDAQ versus google amazon and intel on earnings


Amazon boasts the largest market capitalization of the three companies reporting this Thursday and the second largest in the US overall. Unfortunately for Amazon, a high valuation comes with high expectations. Following a slight miss of those expectations, Amazon faltered after-hours.

The online retailer narrowly missed revenue expectations, reading $56.6 billion versus $57 billion. Earnings per share (EPS) beat the expected $3.11 with a hefty $5.75. Amazon shares traded 4% lower in after-hours trading. Although the third quarter data was nearly on target, forecasts for the fourth quarter seem to have been the deciding factor in the market’s response.

Amazon Price Chart October 25th

S&P 500 to Look Elsewhere for Support After Disappointing Earnings

Chart provided by MarketWatch

Amazon reported fourth quarter forecasts for sales in the range of $66.5 billion to $72.5 billion. Even the top end of the range is a rather significant miss compared to analyst expectations of $73.8 billion. The tempered growth forecast is likely attributable to rising prices from trade wars coupled with increased competition. Further, explosive growth has been a hallmark of Amazon and is rightfully woven into the share price. Signs that this growth may be slowing could result in a harsh reassessment of Amazon’s valuation.


The second company to report was Google’s parent company, Alphabet. Alphabet also narrowly missed on revenue and delivered a beat on EPS. Third quarter revenue came in at $33.74 billion versus the expected $34 billion. Earnings per share read $13.06 versus $10.45 expected. Given the large profit surprise on relatively light revenue, Alphabet shares fared much better in after-hours trading. At the time of this article, Alphabet traded 2% lower.

Alphabet Price Chart October 25th

S&P 500 to Look Elsewhere for Support After Disappointing Earnings

Chart provided by MarketWatch

Join our analysts for Live Webinars that range from live coverage of central bank decisions and economic data breakdowns to trading Q&A’s.


The only company to deliver a beat across the board was Intel. Versus a forecasted EPS of $1.15, actual earnings read in at $1.40. Revenue came in at $19.2 billion, also beating out the forecasted $18.13 billion. Following the report, Intel shares enjoyed a 3.25% bump in after-hours trading. Coupled with Thursday’s climb, the shares are up 7.5% from Wednesday’s close.

Intel Price Chart October 25th

S&P 500 to Look Elsewhere for Support After Disappointing Earnings

Chart provided by MarketWatch

S&P 500, Dow, NASDAQ Outlook for Friday

In the current equity climate, the disappointing performances from the mega-caps of Amazon and Google may deliver another tumultuous trading session on Friday. Amazon’s sales forecast in particular will weigh on investor sentiment and likely add to concerns of future growth for US corporations on a broader scale.

Notable earnings continue next week with auto manufacturers Ford, General Motors and Daimler accompanied by tech-giant Apple.

--Written by Peter Hanks, Junior Analyst for

Contact and follow Peter on Twitter @PeterHanksFX

Read more: USD Price Action Setups as Dollar Bulls Stampede Through Resistance

DailyFX forecasts on a variety of currencies such as the US Dollar or the Euro are available from the DailyFX Trading Guides page. If you’re looking to improve your trading approach, check out Traits of Successful Traders. And if you’re looking for an introductory primer to the Forex market, check out our New to FX Guide.

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.