NASDAQ Index, Dow Jones 30 and S&P 500 Forecast – US Indices Continue to Grind

NASDAQ 100 Technical Analysis

The NASDAQ 100 is back and forth in early trading on Tuesday as we are threatening the 25,000 level and the 50-day EMA. If we can break above the 50-day EMA then it’s possible that this market could go much higher, but as things stand right now, I think you’ve got a scenario where short-term pullbacks will continue to be buying opportunities as we have been building a basing pattern.

Quite frankly, I can’t think of an environment that would invite more selling than what we have now, and yet the market still remains resilient. That is probably the biggest takeaway from the charts in all indices in the US, but specifically the NASDAQ 100, which we plunged only to turn around. I think it’s a buy on the dip market.

Dow Jones 30 Technical Analysis

The Dow Jones 30 is struggling at the 48,000 level, but if we can clear that, it could open up a bigger move to the upside and perhaps send this market towards the 50-day EMA.

All things being equal, this is a market that I think was in the process of basically finding its bottom at the 200-day EMA and therefore I am looking for buying opportunities but also recognize you will have to be very cautious with your position size.

S&P 500 Technical Analysis

The S&P 500 is struggling with the 6,800 level, an area that previously had been major resistance, so we’ll have to see whether or not we can break above there. If we can, that would be an extraordinarily bullish sign. If we cannot, that means the market may have to grind back and forth for a while.

Quite frankly, there are a lot of moving pieces out there, and unfortunately, with conflict, that is going to be something that is just a reality of life. So, with all of that being said, I believe an upward bias probably makes the most sense, but I also recognize that you have to assume that it is going to be very noisy on the way up.