NASDAQ Index, S&P 500 and Dow Jones Forecasts – US Indices Continue to See Stability on Friday

NASDAQ 100 Technical Analysis

The Nasdaq 100 has rallied slightly during the early hours here on Friday as we are at the top of the overall channel. Ultimately, this is a market that I do think goes higher over the longer term, but in the short term may have to spend a little bit of time going sideways right around the 25,000 level. The 25,000 level of course is an area that’s been important a couple of times here recently, and of course it has a lot of psychology attached to it.

If we break down from here, then it’s possible that a more pronounced drop and then a bounce come into the picture, and people start looking for buying opportunities. I have no interest in shorting the NASDAQ 100, despite the fact that I do think it is maybe running into some sideways consolidation.

Dow Jones 30 Technical Analysis

The Dow Jones 30 has bounced from a trend line during the early hours on Friday, and that of course is a good sign. So, with that being said, I think we will continue the overall uptrend, but I do recognize that there might be some noise here and there, with the market using this as a bit of a support region. With this, I do recognize that the markets will, of course, continue to be very noisy, but grinding to the upside overall.

S&P 500 Technical Analysis

The S&P 500 finds itself slightly positive in the early hours of Friday as well, as it looks like we’re probably going sideways here also. Keep in mind that the S&P 500 and the NASDAQ 100 are essentially the same thing, as all of the biggest weighted stocks in both of these indices are the same names essentially.

So, it’s not a huge surprise to see that the S&P 500 is moving right along in the same general attitude. 6800 just above should offer resistance and if we can clear that, then I think you’ve got a real shot at the S&P 500 taking off eventually towards the 7000 level. Pullbacks at this point still have plenty of support, especially near the 6600 level, where you would start running into the previous uptrend line and the 50-day EMA.

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