NASDAQ 100, Dow Jones 30 and S&P 500 Forecast – US Indices Continue to Look Miserable

Nasdaq 100 Technical Analysis

The Nasdaq 100 has fallen pretty significantly in the early part of Monday, breaking through the recent swing low, which of course is a very, very bad look. So, at this point in time, I really don’t know that there is anything to keep this market supported right now. And while the selling pressure will end someday, it doesn’t look like it’s going to end now.

So, with this, we could see a pretty nasty correction. You could look at something to the effect of, you know, history to tell you that maybe a 20 % correction could get you down to this 17,750 level, which is an area that’s been important a couple of times in the past. It would not surprise me at all if we do shed another roughly 1500 points or so, maybe a little bit more than that at this rate.

Dow Jones 30 Technical Analysis

Dow Jones 30 looks very much the same, although it did not break below the latest swing low. And the Dow Jones 30 has outperformed many of the other indices recently. So that’s not a huge surprise. And you think about it, if there are a lot of tariffs in America, some of the largest industrial companies will actually benefit from this. So, it does make a certain amount of sense.

They wouldn’t get as punished as others. 40,000 is an area I’ll be watching underneath, but we still have quite a bit of distance between here and there, so I’m not overly worried about that. Nonetheless, it doesn’t look like it’s ready to go anywhere near the upside right now.

S&P 500 Technical Analysis

The S&P 500, as I record this video, is on the verge of making a new swing low violation and therefore open up the possibility of a move down to the 5200 level. At this point, I would be very cautious about trying to get too cute here. This is a market that quite frankly, I think is in serious trouble.

It’s not really an easy market to short because quite frankly, it’s not equally weighted, but right at this point in time, you can’t be a buyer either. It’s just trying to catch a falling knife. And this is a great way to lose a lot of money. If you do in fact, try to pick the bottom, let the market tell you when that happens. I suspect we probably drop another couple hundred points.

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