NASDAQ Index, SP500, Dow Jones Forecasts – Major Indices Attempt To Rebound

Key Insights

• SP500 is moving higher despite rising Treasury yields. 
• NASDAQ received support near the 14,560 – 14,680 level.
• Dow Jones remains under pressure. 

SP500

SP500 is trying to rebound after the recent pullback. Treasury yields test new highs, which is bearish for stocks. However, SP500 is moving higher, driven by rising demand for energy stocks. Today, traders had a chance to take a look at the Dallas Fed Manufacturing Index report. The report indicated that Dallas Fed Manufacturing Index declined from -17.2 in August to -18.1 in September, compared to analyst consensus of -10. The disappointing report did not put pressure on stocks as traders used the recent pullback as an opportunity to enter long positions at attractive levels.

At this point, the rebound looks technical. There are no material positive catalysts, while Treasury yields are moving higher. SP500 needs to climb back above the resistance at 4335 – 4350 to have a chance to gain sustainable upside momentum.

NASDAQ

NASDAQ is also moving higher in today’s trading session. RSI has recently moved back into the moderate territory as demand for tech stocks increased. However, the current rebound is not strong as traders remain worried about rising Treasury yields.

From the technical point of view, NASDAQ found support near the 14,560 – 14,680 level. A move above 14,800 will signal that NASDAQ may gain additional upside momentum.

Dow Jones

Dow Jones remains under pressure as traders wait for catalysts. Dow and Chevron, which are up by more than 1%, are the only notable gainers in the Dow Jones index today.

From the technical point of view, Dow Jones is slowly moving towards the nearest support level, which is located in the 33,600 – 33,700 range.

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