NASDAQ Index, Dow Jones and S&P 500 Forecasts – US Indices Drift Lower Early

NASDAQ 100 Technical Analysis

The NASDAQ 100 dropped a little bit lower during the trading session here on Thursday. To me, what I think we’re watching very closely is the 23,800 level. This is an area that I think has been important multiple times as support and if we can hold that, maybe a bounce is a short-term buying opportunity.

If we break down below there, the 23,000 level is an area that I think could be a target for short sellers. The 200-day EMA sits just above the 24,200 level, so if we could break above there, then I think we will go higher.

Dow Jones 30 Technical Analysis

The Dow Jones 30 has fallen a bit during the early part of the session as well and we are also below the 200-day EMA here. All things being equal, this is a market that I think probably moves right along with interest rates.

As interest rates in America remain very stubbornly high, I think that puts downward pressure here as well as all other indices. Watch that 45,750 level; it needs to hold.

S&P 500 Technical Analysis

The S&P 500 is driving its way back to the 6,500 level, an area that has been important for some time and I do think that is an area that could attract a certain amount of buying pressure. We’ll just have to wait and see.

Really, I think the only story right now is going to be if and when the war ends. It’s obviously very detrimental to the markets. It hasn’t been disastrous though, which is a bit wild to think about, but it’s been more of a slow brutal grind lower and there’s really nothing here that doesn’t tell me that we are going to see the same thing.

I just think that’s the pattern we’re stuck in. Whether or not we break down significant remains to be seen, but I think markets need to hold these floors and then bounce a bit to even open up the possibility of a short-term buying opportunity.