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

Nasdaq 100 Technical Analysis

The Nasdaq 100 has rallied a bit in early Friday trading as it looks like we are going to continue to try to break to the upside. That being said, it is Martin Luther King Jr. Day on Monday, so keep that in mind; the markets will be closed.

On Friday, we’re going to try to get back towards the highs. I don’t know if we’ll break out; I think it’s probably a pretty big ask at this point. I do think it happens eventually, but in the short term, we’re just bouncing around, killing time, trying to sort out what to do next. I think every time we pull back, you have to look at the 50-day EMA as a potential support level.

Dow Jones 30 Technical Analysis

The Dow Jones 30 is pretty stagnant, but really, at this point in time, I think it’s just in consolidation as well. It has the 49,000 level underneath, offering support, allowing for more back and forth, and perhaps momentum-building positioning.

Again, that being said, Monday is a holiday, so keep that in mind. But I do think, given enough time, we do break out and test the 50,000 level. It’s just too big a target for most participants to ignore. If we do break down, the 50-day EMA sits just above 48,000 and should be important.

S&P 500 Technical Analysis

The S&P 500 initially rallied a bit; now it just looks a little bit flat on Friday in the early hours. We’ll see whether or not we can break to the upside. I do think that there are a lot of people watching this 7,000 level and seeing whether or not we can actually break above it.

I do think it happens given enough time. You’re just going to have to be very patient to see that happen. The 50-day EMA offers support. I anticipate a lot of sideways action and again, as I mentioned with the other two indices, on Monday the S&P 500 will be shut down, so keep that in the back of your mind.

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