NASDAQ Index, S&P 500 and Dow Jones Forecasts – US Indices Quiet in the Early Hours of Tuesday

NASDAQ 100 Technical Analysis

The NASDAQ 100 has shown itself to be somewhat quiet in the early hours here on Tuesday as we are bumping up against the top of an overall channel. If we pull back from here, there is a good shot that there’ll be value hunters looking to get involved all the way down to at least the 24,000 level, if not the bottom of the channel, which would be closer to 23,700. The 50 day EMA is moving right along with this uptrend line as well at the bottom of the channel. So, I think it all holds its support. If we do shoot to the upside and get impulsive, breaking out of the channel, 25,000 will be targeted.

Dow Jones 30 Technical Analysis

The Dow Jones 30 initially did rally a bit during the trading session on Tuesday, but we’ve given back a little bit of the gains as we just continue to grind very slowly to the upside. Short-term pullbacks are possible, but we have a major uptrend line, as the market has followed this uptrend line since August 1st. If we break down below the trend line, then we could get a scenario where the 50-day EMA becomes support, sitting just above the 45,000 level. If we continue to go higher, then 47,000 would be your next target.

S&P 500 Technical Analysis

The S&P 500 is fairly quiet as well as we are just simply sitting around trying to absorb the gains from the last couple of sessions. Ultimately, we are threatening the 6700 level and breaking above that would be yet another big handle in the rear view mirror. We are getting close to the top of the overall channel. So, I think a short-term pullback makes a little bit of sense.

If we get that, then it should end up being a buying opportunity from everything I’m seeing out there. I don’t have any interest in shorting this market, and I think there is a hard floor somewhere closer to the 6,500 level as it is at the bottom of the channel. And of course, the 50-day EMA is racing towards that large, round, psychologically significant figure.

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