BOB LANG: Good morning, Action Alerts Plus subscribers. It's October 28, 2022. Happy Friday. We've made it to the weekend, and it's time for our rundown. So let's get rolling here.

So yesterday, we talked about the NASDAQ, which failed to push through following a big up day on Tuesday. Now, this failure sets up for lower prices ahead. Of course, it's not happening today. We see the S&P 500 up about 1%. The NASDAQ a little bit more than 1%. Of course, the Dow has been strong for the past couple of weeks. It's up more than 1% as well today. So this is a Friday, of course, so we'll see what happens over the next couple of weeks.

But the fact that the NASDAQ failed to have a follow-through on another follow-through day on Tuesday sets up for some disappointment. The statistics bear that out over time. So if that 11,000 level, which we talked about yesterday, fails to hold in the coming days, the NASDAQ 100 is likely to see much lower prices, even towards those October lows, which came out a little under 10,500 in the middle of the month. So we'll have a decision on that move if should it occur, but right now, we're just going to be watching it. Right now, we're kind of in a no-man's-land, and we're seeing a very high risk of a potential breakdown happening if we do break below that 11,000 level.

Now as of Monday, which is Halloween, of course, October 31-- the last trading day of the month-- we are watching that 3,800 level very closely. Now, we're moving up above that for right now, but overnight, we did see the S&P futures very comfortably sitting below that 3,800 level and taking in a lot of sellers below that 3,800. So it's a very important marker for the markets right now. We'll have to see if that holds. It actually did hold on the lows today.

So going forward we'll have to see if that is a hindrance to the bulls or the bears. Right now, again, as we mentioned earlier, we're kind of in a no-man's-land of the markets. So we'll see what happens maybe, possibly in the new month ahead, which starts on Tuesday. The reality, though, is that we just have another number here to work with.

We did mention about a week ago the 3,800 level, 3,850, and then finally the 3,900 level, which is a very important level on the S&P 500. It's going to be pretty strong resistance if the bulls get another charge up to that area. Remember something, though. If we're hoping for things to happen, hope and pray is not a good situation to be in. It's not the way you're supposed to trade or invest in the markets. But people seem to do that pretty often.

We're going to sit back and wait and let the data speak to us first. Now, in yesterday's alert, we told you to stay on the sidelines when it comes to Apple and Amazon. It was good advice given through the alert that we sent out to yesterday. Of course, yesterday last night, we had earnings coming from Apple and Amazon. So let's focus on Amazon first.

Disappointing guidance, of course, last night. They took down their numbers for the next coming quarters, and of course, this next quarter is the big one, right? This is the one where they tend to do a lot of their business. It's the holiday shopping season, and I think they're probably being a little bit more conservative going forward with their numbers. Or perhaps they're seeing something in the economy that there are some cracks there in consumer spending. We haven't seen that yet so far, but Amazon has information that none of us are privy to.

It could very well be that they're seeing a slowdown coming in, and they're pulling in their guidance for that very reason. So Wall Street today, not really impressed with Amazon. It did break down about to $86, $87 overnight. I think it's ticking up a little bit higher than that today. So we'll have to see how far Amazon falls before we are willing to make a commitment and add some more shares.

So again, we much like we said last night, we want to hold off on adding some Amazon. Now as it relates to Apple-- Apple actually came up with a decent number, barely beating on the top line and the bottom line, but also missing on the services revenue and the iPhone revenue as well too. So a mixed quarter. They didn't give any guidance at all, but they did seem to be encouraged by the fact that supply chain issues are starting to erode, and perhaps going to be able to get more speed and getting iPhones out to their customers to the orders.

So they seem to be pretty confident about their quarter coming up. Again, they didn't give any guidance, but they feel that the business is there, and there wasn't anything negative that they mentioned on the call yesterday. They do believe that consumer spending, which is still high, could come down a little bit in the coming quarters. And of course, we have the challenges of the Fed with higher interest rates on the short end, and then also predicting that job losses are going to be pretty strong. We do, of course, have a jobs report coming up next Friday, so we're going be talking about that sometime next week.

So as we close here, I just want to remind everybody about the monthly call. It's coming up next Wednesday, November 2nd, at noon Eastern time. So make sure you're there. Send some of your questions into aapclub@thestreet.com, and we'll hopefully get some of those up on the air, and take a look at those questions.

But it should be a really good meeting, a really fun meeting. We did have some nice movement on some names this week. We had four-- almost five names that hit all time highs earlier in the week. So plenty to talk about next week, and along with these earnings that we had this past week. So I'm going to leave it right there. Have a great day, everyone. Have a wonderful weekend, and we'll see you back on Monday.