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NASDAQ Index, SP500, Dow Jones Forecasts – NASDAQ Sinks As NVIDIA Dives 9%

By:
Vladimir Zernov
Published: Apr 19, 2024, 19:36 GMT+00:00

Key Points:

  • SP500 settled below the psychologically important 5000 level.
  • NASDAQ suffered a strong pullback due to the sell-off in tech stocks.
  • Dow Jones gained ground as demand for defensive stocks increased.
NASDAQ Index, SP500, Dow Jones Forecasts – NASDAQ Sinks As NVIDIA Dives 9%

In this article:

SP500

SP500
SP500 190424 4h Chart

SP500 is losing ground as tech stocks remain under strong pressure. Super Micro Computer is the biggest loser in the SP500 index today. The stock is down by 22% as the company did not preannounce its earnings results, which will be reported on April 30. Traders decided that the report would miss analyst expectations and sold the stock. The sell-off in Super Micro Computer triggered a strong pullback in the whole sector. NVIDIA is down by 9% as traders rushed to exit their long positions amid a broad sell-off in the tech sector. Interestingly, utilities, energy, financial, and consumer defensive stocks have managed to find support in today’s trading session.

SP500 settled below the psychologically important 5000 level and is trying to settle below the nearest support at 4930 – 4950. In case this attempt is successful, SP500 will head towards the next support level, which is located in the 4780 – 4800 range. RSI is in the moderate territory, so there is plenty of room to gain momentum in the near term.

NASDAQ

Dow Jones
Dow Jones 190424 4h Chart

NASDAQ tested new lows due to the weak performance of NVIDIA stock. Netflix was also down by 9% as traders reacted to the company’s earnings report. Netflix announced that it would not report its subscriber metrics regularly from the next year, raising worries about the company’s growth potential.

NASDAQ has recently managed to settle below the support at 17,150 – 17,200. A move below the 17,000 level will open the way to the test of the support at 16,800 – 16,900.

Dow Jones

Dow Jones
Dow Jones 190424 4h Chart

Dow Jones gains ground amid rising demand for defensive stocks. American Express, which was up by 5.5%, was the biggest gainer in the Dow Jones index today. The stock gained upside momentum as the company beat analyst expectations and presented strong full-year guidance.

If Dow Jones stays above the 37,900 level, it will head towards the nearest resistance at 38,500 – 38,550.

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

About the Author

Vladimir is an independent trader and analyst with over 10 years of experience in the financial markets. He is a specialist in stocks, futures, Forex, indices, and commodities areas using long-term positional trading and swing trading.

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