NASDAQ Index, Dow Jones and SP500 Forecasts – US Indices Pull Back Early on Monday

NASDAQ 100 Technical Analysis

The NASDAQ 100 fell pretty significantly during the trading session in the pre-market trading on Monday. The 21,000 level is a significant amount of support, and I think it is not only a large round, psychologically significant figure, but an area that we will continue to pay attention to for multitudes of reasons. Not the least of which, of course, is the fact that it was major support just back at the end of last year. Even if we were to break down below the 21,000 level, the 20,000 level I think is a massive floor in this market, and it is worth noting that the 50 day EMA is starting to cross the 200 day EMA kicking off the so-called golden cross.

Dow Jones 30 Technical Analysis

The Dow Jones 30 is fairly neutral in early trading on Monday. And this does suggest that perhaps we are just going to kill a little bit of time in this area, as the Dow does tend to move a little bit more stable than some of the other indices. So, this is actually a good sign. The 42,000 level is more likely than not going to end up being support right along with the 200 day EMA, which sits just below there. If we can break above the 42,750 level, then we probably go looking at the 43,500 level.

S&P 500 Technical Analysis

The S&P 500 has pulled back a bit in early trading, but it does look like it is trying to settle down a bit. And it’s probably worth noting that we are hanging around the 5,900 level, an area that of course is a significant support and resistance level recently. And I think it might even be thought of more or less as a zone of support that extends all the way down to 5,800. So, I’ll be looking for a bounce here in the next few days.

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