NASDAQ Index, SP500, Dow Jones Forecasts – NASDAQ Rallies As Broadcom Soars 10.3%

SP500

SP500 rallied as traders continued to buy tech stocks after the recent pullback. From a big picture point of view, traders used the pullback as an opportunity to increase their long positions at attractive levels. Today, traders had a chance to take a look at Dallas Fed Manufacturing Index report. The report showed that Dallas Fed Manufacturing Index declined from -5.0 in October to -10.4 in November, compared to analyst forecast of -1. Today’s rally was broad, and most market sectors moved higher. Consumer defensive stocks found themselves under pressure as demand for safe-haven assets declined.

SP500 moved above the resistance at 6640 – 6650 and is trying to settle above the 50 MA at 6694. In case this attempt is successful, SP500 will head towards the next resistance level, which is located in the 6750 – 6760 range. RSI is in the moderate territory, and there is plenty of room to gain additional upside momentum in case the right catalysts emerge.

NASDAQ

NASDAQ gained strong upside momentum as traders rushed to buy tech stocks. Broadcom, which was up by 10.3%, was the best performer in the NASDAQ index today. Micron and Tesla were among the biggest gainers in today’s trading session.

In case NASDAQ manages to settle above the 50 MA at 24,819, it will head towards the next resistance level at 25,200 – 25,250.

Dow Jones

Dow Jones gained some ground amid broad rally in the equity markets. However, Dow Jones failed to gain strong momentum as demand for defensive sectors declined. Procter & Gamble, which was down by 2.8%, was the worst performer in the Dow Jones index today.

If Dow Jones settles above the resistance level at 46,400 – 46,500, it will head towards the next resistance, which is located in the 47,100 – 47,200 range.

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