NASDAQ Index, SP500, Dow Jones Analysis – NASDAQ Gains 0.8% Amid Strong Demand For Tech Stocks

Key Insights

• SP500 gains ground as market sentiment remains bullish. 
• NASDAQ outperforms as demand for tech stocks stays strong. 
• Dow Jones continues its attempts to settle above the 34,600 level. 

SP500

SP500 gains ground as traders prepare for a busy earnings week. Treasury yields are moving lower, providing additional support to major indices. The general market sentiment remains bullish as traders expect that Fed will complete the rate hike cycle with the 25 bps hike at the upcoming meeting in July. Today’s move is driven by Financial and Technology stocks, while Real Estate and Utilities stocks have found themselves under pressure.

Taking a look at the daily chart, RSI moved back into the overbought territory, but there is enough room to gain additional upside momentum in case the right catalysts emerge.

NASDAQ

NASDAQ is also moving higher as demand for tech stocks remains strong. It looks that fear of missing out remains the key driver for NASDAQ index as traders do not want to miss the potential rally in the AI-related stocks.

NASDAQ is heading towards the resistance in the 15,900 – 16,000 range. RSI remains below recent peaks, so NASDAQ has a chance to get to the test of this resistance level without a pullback.

Dow Jones

Dow Jones remains stuck near the resistance at 34,500 – 34,600. This resistance level has been tested many times and proved its strength.

The risk of a pullback is increasing as Dow Jones underperforms while SP500 and NASDAQ are testing new highs. If Dow Jones fails to settle above 34,600 in the near term, it will head towards the support level in the 34,200 – 34,250 range.

For a look at all of today’s economic events, check out our economic calendar.