NASDAQ 100 Technical Analysis
The NASDAQ 100 has rallied a bit during the early hours here on Wednesday as it looks like we are going to continue to see a little bit of upward activity. The 25,000 level is an area that I’d be watching very closely because it is a large, round, psychologically significant figure and an area that a lot of people would be watching to see if we can get above.
The market has been in a massive uptrend for some time and it’s worth noting that the uptrend line underneath is backed up by the 50 day EMA. So, I think ultimately this is a scenario where short-term pullbacks continue to offer buying opportunities.
Dow Jones 30 Technical Analysis
The Dow Jones 30 has rallied a bit during the early hours as well, but ultimately, the 47,000 level, I think, will end up being important. I think it shows a little bit of a ceiling, but if we can break above there, the market could really go much higher. The 50-day EMA offers a bit of support as well as the 45,000 level. So, I do think this remains more or less a buy on the dip type of scenario, as it has been for quite some time. It’s worth noting that we have almost wiped out the entire Friday sell-off candle, which obviously would be a huge victory.
S&P 500 Technical Analysis
The S&P 500 has rallied a bit to break above the top of the hammer from the previous session in pre-market trading, and it looks like we may go looking toward the 6,800 level. The 6,800 level, of course, is a large, round, psychologically significant figure, and if we can break above there, then it opens up the possibility of a much bigger move.
We are, for the most part, in an up-trending channel here as well, which is not a huge surprise anymore. It’s the same stocks that moved the S&P 500 as NASDAQ 100. So, one should mirror the other overall. Both look like short-term pullbacks or buying opportunities. So, at this point in time, I remain bullish on all three indices.
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