Dow Jones 30 and NASDAQ 100 Price Forecast July 20, 2017, Technical Analysis

Dow Jones 30

The Dow Jones 30 fell during the day after initially tried to rally, forming a very negative looking market. I think that the market will eventually try to rally, as some of this may be due to political noise more than anything else. Because of this, I believe that this will simply be a “buy the dips” type of situation, but I certainly have no interest in trying to put money to work before it proves itself. Because of this, I believe that ultimately, we will see buyers jumping, but I am not willing to do so until we get a daily candle that tells me to do so. In the meantime, I am on the sidelines as the market is probably a bit overbought anyway. I still remain bullish longer-term, but I recognize that there will be a significant amount of noise.

Dow Jones 30 and NASDAQ Index Video 28.7.17

NASDAQ 100

The NASDAQ 100 initially gapped higher at the beginning of the session on Thursday, but then cratered during American trading. Part of this may be due to political noise, but we have broken down below the 5900 level, and that’s what I’m focusing on. The 5800 level below should be massively supportive, so we will have to wait and see if the area offers enough interest in buying to support the market. I think it will, and I think that this overreaction will eventually be bought. However, the volatility picks up and therefore it’s probably best to let things stabilize before putting money to work.