Nasdaq 100, Dow Jones 30 and S&P 500 Forecasts – Rising Yields and Middle East Risk Weigh on Stocks

NASDAQ 100 Technical Analysis

The Nasdaq 100 has dropped a bit during early pre-market trading on Thursday as the 50-day EMA continues to offer a little bit of resistance. The 50-day EMA is an indicator that a lot of people will watch very closely, with the 28,500 level underneath being support in the past. As the market drops, it starts to attract the attention of those who are trying to defend that support region.

Dow Jones 30 Technical Analysis

The Dow Jones 30 finds itself below the 52,000 level, which is a fairly large figure, but we have dropped down below there. The market could open up a move down to the 50-day EMA, which is a significant uptrend line that has played out using this indicator. Whether or not the Dow Jones 30 can hang on remains to be seen. And it is worth noting that interest rates are climbing. That is typically not such a good thing for stocks.

S&P 500 Technical Analysis

The S&P 500 also finds itself falling towards the uptrend line of an ascending triangle and the 50-day EMA. A bounce from here could open up a significant amount of interest as it would confirm that the triangle is still holding. The 50-day EMA sits just below that uptrend line as well, and that is a widely followed indicator. It has offered support multiple times here recently, so that will be worth watching. The 7,500 level above is an area that seems to be a bit of a magnet for price. We’ll see how things play out.

As things stand right now, though, the overall attitude of the market is one of a little bit of laxness, just sitting on the sidelines trying to figure out where things are going in the Middle East situation at this point. And it’s very difficult, I think, for clarity to be found by most traders.

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