Major US Indices Forecast, July 27, 2017, Technical Analysis

S&P 500

S&P 500 traders initially tried to rally during the day on Wednesday, but then pulled back as we got close to the FOMC statement. In a nutshell, the statement said absolutely nothing new, and this seemed to have offered a bit of comfort for traders as we rallied again. It looks as if the market is going to continue the uptrend, and therefore I believe that the market will reach towards the 2500 level yet again. Longer-term, I think we will break above there, but it’s likely that the market will have to pull back several times to build up enough momentum to finally make that move. I think that pullbacks offer value, even from this level… Read More

Dow Jones 30

The Dow Jones 30 initially rocketed to the upside during the day on Wednesday, but found enough resistance near the 21,725 level to turn around. Ultimately, everybody pulled back as they were awaiting the FOMC statement. In the end, the statement ended up being more of the same, and now that we have broken out to a fresh, new high it’s likely that the buyers are going to return on dips. With this being the case, I believe that the stock markets continue to find buyers, but that’s not to say that we won’t have short-term pullbacks in time to time. Given enough time though, I fully anticipate seeing fresh, new highs and therefore have no interest in shorting… Read More

NASDAQ 100

The NASDAQ 100 continued its gentle climb during the session on Wednesday, as we awaited the FOMC statement. After that statement, the market simply sat still and then started to turn up words slowly. I believe that is because the market got everything it wanted, and more importantly: everything is expected. With this being the case, I believe that it’s only a matter of time before we reach towards the vital 6000 handle above, which should be significant resistance based upon psychology. Pullbacks continue to be a buying opportunity, and I think that value hunters will jump into the market to take advantage of these. I think that the 5900-level underneath is massively supportive, and although the 6000 level above will be significantly resistive, it’s probably only a matter of time before the buyers finally break above that level… Read More