Nasdaq 100, Dow Jones 30 and S&P 500 Forecasts – Fading AI Trade Stalls Tech Momentum

NASDAQ 100 Technical Analysis

The Nasdaq 100 initially pulled back just a touch during the early part of the Monday session, but quite frankly, I think at this point, it’s become obvious that we are doing whatever we can to stay afloat. It’s also worth noting that traders continue to look at this as a potential long going all the way back to the 30,500 level.

With that being said, I believe this is a market that will be noisy, and I think it continues to move pretty erratically as we are in the middle of summer. Liquidity could be a little bit of an issue, and furthermore, we also have to keep in mind that the AI trade is struggling.

Dow Jones 30 Technical Analysis

The Dow Jones 30 looks a little heavy in premarket trading. I think it pulls back into the previous consolidation area, but I also think there is plenty of support underneath to keep this market afloat and alive. If we can break the 53,000 level, then I think we have much further to go.

Probably the next easiest target would be the 54,000 level, but I’m looking for a much bigger move than that over the longer term. Buying on the dip continues to be the way I look at the Dow Jones 30.

S&P 500 Technical Analysis

The S&P 500 is threatening a downtrend line; we’ll see if it can break out. I think it probably does, I just don’t know if it happens right away. Breaking above the 7,550 level would be very bullish. I think that opens up the possibility of a move towards the 7,700 level. Short-term pullbacks here, I think, also offer buying opportunities as we are still very much in an uptrend.

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