NASDAQ Index, S&P 500 and Dow Jones Forecasts – US Indices Fall in Early Trading

NASDAQ 100 Technical Analysis

The Nasdaq 100, of course, has rolled over in Asian and European electronic trading. We will have to wait and see whether or not the Americans pick it up yet again, but that seems to be the pattern. Europe and Asia freak out, America starts buying.

I do not know if that happens on Friday, but I am looking for a buy on the dip opportunity and I continue to see the 25,000 level as very important. While it is a frustrating market at the moment, the reality is it could be a lot worse. Quite frankly it should be a lot worse, and sometimes it is about what the market won’t do.

So, I will see if these bounces. Right now, it looks like typical European panic, but the Americans will make the decision once the actual markets open as to where we truly end up.

Dow Jones 30 Technical Analysis

The Dow Jones 30, of course, is collapsing. The 47,000-level underneath is an area where I would expect to see a lot of interest as the 200-day EMA is coming into the picture there to offer support. I do think eventually this bounces.

A lot of what we are seeing here again is just a panic coming from war headlines. Probably Europeans pulling money home as energy prices and everything else is going to be a major problem in the European Union, so they may be trying to cover other bets.

S&P 500 Technical Analysis

The S&P 500 is basically sat at the bottom of the range it has been in for a while. It will be interesting to see how this plays out. If we can turn around and recapture 6,800, then I think that is your sign that the Americans are going to pick this up again. That is the pattern we are stuck in: Asia, Europe sells, America buys.

Right now, I do not see that changing, but if we do break down, then you have to look at the 200-day EMA at the 6,600 level as a potential support level. To the upside, the upside is somewhat limited at the moment. There is just too much panic out there. Eventually we get moving, and I do think we resolve to the upside, but we may have a little bit of a pullback first before that actually comes to fruition.