NASDAQ Index, SP500, Dow Jones Analysis – Stocks Move Higher As Traders React To PCE Price Index Data

Key Insights

• SP500 climbed above the 4150 level. 
• NASDAQ is trying to get above the resistance at 13,250.
• Dow Jones managed to settle above 34,000.

SP500

SP500 gained upside momentum despite problems of the First Republic Bank, which is down by 37% in today’s trading session. The bank’s shares plunged amid reports that FDIC receivership was likely. Shares of regional banks like U.S. Bancorp, Zions Bancorporation and Comerica gained 5%, so traders believe that regulators will be able to contain the crisis in the regional banks segment. It should be noted that the better-than-expected PCE Price Index data  provided material support to stocks.

In case SP500 settles above the resistance at 4175, it will head towards the next resistance level at 4200. A move above this level will push SP500 towards the resistance at 4215.

R1:4175 – R2:4200 – R3:4215

S1:4150 – S2:4115 – S3:4090

NASDAQ

NASDAQ is also moving higher in today’s trading session as the appetite for risk is increasing. Treasury yields are moving lower, providing additional support to the yield-sensitive tech stocks.

If NASDAQ climbs above the 13,250 level, it will move towards the resistance at 13,400. A successful test of the resistance at 13,400 will push NASDAQ towards the next resistance at 13,550.

R1:13,250 – R2:13,400 – R3:13,550

S1:13,140 – S2:13,000 – S3:12,900

Dow Jones

Dow Jones managed to climb above the 34,000 level amid strong demand for stocks. Intel was the best performer in the Dow Jones today. The stock gained 5% as the company beat analyst estimates on both earnings and revenue.

A move above the resistance at 34,200 will push Dow Jones towards the next resistance at 34,350. In case Dow Jones settles above 34,350, it will head towards the 34,500 level.

R1:34,200 – R2:34,350 – R3:34,500

S1:34,000 – S2:33,850 – S3:33,700

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