NASDAQ Index, Dow Jones and S&P 500 Forecasts – US Indices Bounce from Lowest Levels

NASDAQ 100 Technical Analysis

The NASDAQ 100 initially pulled back during early overnight trading on Thursday but has turned around to show signs of life. The market is likely to continue to see more of a “buy on the dip” behavior because that is what we have seen over the last couple of months as traders are still trying to get their head around the war.

Ultimately, this is a market that has held up quite nicely, and that, of course, is a positive sign. Sometimes markets are about what they won’t do—in this case, fall apart—than what they will do. This remains choppy short-term bullish behavior.

Dow Jones 30 Technical Analysis

The Dow Jones 30 is looking for a little bit soft in the early hours on Thursday, but it looks like the 200-day EMA continues to offer support. I think a lot of people are going to continue to look at this as a potential buy on the dip opportunity as well.

The 48,000 level above is a major psychological resistance barrier and target. I think we are going to try to get there again, unless, of course, headlines fly across the news wires that are really bad. All things being equal, this is a market that I think does have a lot of support and, therefore, sooner or later, will catch its feet and go much higher.

S&P 500 Technical Analysis

The S&P 500 initially pulled back just a bit during the trading session in the early hours only to turn around and show signs of life. The 6,800 level is an area that I think the market is trying to target. It was previous support, so there is market memory there, and over the last couple of days it has held as resistance.

If we can break above there and close above there on a daily candlestick, I think that is the sign that we are going to recover and try to go looking to the 7,000 level. If we fall from here, I look at the 200-day EMA near 6,600 as a potential support level.