Nasdaq 100, Dow Jones 30 and S&P 500 Forecasts – US Indices Jump After Peace Deal in Sight

NASDAQ 100 Technical Analysis

The Nasdaq 100 has gapped higher to kick off the trading week, as we are now well above that 30,000 level, an area that I figured could have been a little bit of resistance. But now that we have a potential ceasefire at the very least on Friday between the United States and Iran, obviously, this has sent risk appetite higher. I do think we test the highs. I don’t know if we do today. We’ve had quite a jump. But short-term pullbacks will more likely than not continue to be selling opportunities going forward.

Dow Jones 30 Technical Analysis

The Dow Jones 30 has also gapped higher to test the recent all-time highs, and it does look like that it might break out. And if you think about it, it makes quite a bit of sense. These are industrials for the most part; these are the biggest companies out there. The Strait of Hormuz being open has a major influence on them as well.

So if we continue to see buying pressure, I think you’ve got a situation where we will test the 52,000 level. Short-term pullbacks end up being buying opportunities with a support level at the 51,200 level. Ultimately, this is a market that I think buyers will continue to jump towards, but try to find some value. It’s not really something you want to chase.

S&P 500 Technical Analysis

The S&P 500 has gapped higher as well. It looks like it is, in fact, going to continue to go looking towards the 7,600 level. Whether or not we get there today remains to be seen. I think short-term pullbacks end up being buying opportunities as well. I have no interest whatsoever in trying to get too cute here. I would love to find value, and value, of course, is represented by lower prices.

The one thing that does concern me, we’re already starting here. The Iranians make announcements that I don’t know that the Americans would agree to, as far as things that may or may not be happening. So, we’ll see, we’ll see how this plays out. But I think you have to look at this as a tentatively good sign, but let’s be honest, it wouldn’t take much to turn the whole thing back around.

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