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

NASDAQ 100 Technical Analysis

The Nasdaq 100 rallied a bit in the early hours here during the trading session on Monday as we continue to see a lot of upward momentum jump into this market. With this being the case, the market looks as if it is going to try to get to the 26,000 level, but we will have to see whether or not that ends up being the case. This is a market that I think ultimately probably goes much higher than that, but in the short term, we do have a holiday-shortened week, so it will be interesting to see how that plays out. Nonetheless, I do think this is a market that you have to look at dips as potential buying opportunities, although you have to keep the holidays in context.

S&P 500 Technical Analysis

The S&P 500 looks like it is ready to take off to the upside again, and at this point in time, challenge the recent all-time highs at about 6,933. If we can break there, then I do not see any reason why the S&P 500 will not make it all the way to 7,000, but it might take some time to get there. It has been fairly choppy, and of course, it is going to be a bit thin later this week, but typically speaking, the week of Christmas does fairly well, I think mainly due to traders trying to square up positions going into the new year.

Dow Jones 30 Technical Analysis

Finally, we have the Dow Jones 30, which did gap a little bit higher, but it is pulling back just a touch in early trading. It is still slightly positive, but I think ultimately, when I look at this chart, one of the first things that stands out is that the 48,000 level could very well end up being a little bit of support, and all things being equal, we are still very much in an uptrend, so there is no reason to worry about it. I just think this is a market that may struggle a little bit in relation to the other two, but I believe that it continues to be bullish overall, and I am a buyer for that reason.

For a look at all of today’s economic events, check out our economic calendar.