NASDAQ Index, S&P 500 and Dow Jones Forecasts – US Indices Grinding Higher on Monday

NASDAQ Technical Analysis

The Nasdaq 100 looks as if it is trying to do everything it can to break above the $25,000 level in early Monday trading. That being said, we are struggling a little bit at this level, so I’ll be watching to see how this plays out. As the market has been so bullish, I do like the idea of buying dips as potential value plays, and I think we have a long way to go before we have to worry about the trend, as we are closer to the top of the channel than we are to the bottom. In fact, I’d keep an eye on that 50-day EMA currently at the 23,897 level as a potential floor in the market.

Dow Jones 30 Technical Analysis

The Dow Jones 30 looks as if it is trying to stretch a bit here in the early hours on Monday, perhaps trying to get to the $47,000 level. Short-term pullbacks at this point, I think, will offer buying opportunities, and there is a significant trend line holding up the Dow Jones 30 as well. I have no interest in shorting any US index, and the Dow Jones 30, of course, will be no different. Pullbacks continue to attract traders who are trying to pick up value and cheap stocks along the way. The market is excited about the idea of interest rate cuts and, as such, is celebrating it.

S&P 500 Technical Analysis

The S&P 500 rallied a bit during the early hours here on Monday as well, as we continue to struggle for big moves, but we are grinding to the upside again. And that of course, is a significant victory. Ultimately, I think you’ve got a situation where traders will continue to look at this through the prism of a market that, when it dips, you buy.

There’s a major uptrend line sitting below that’s backed up by the 50-day EMA. So, really, at this point, this just looks like a market that is going to continue at a 45-degree angle to the upside overall. I have no interest in shorting, and I do think that we will challenge 6800 rather soon.

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