NASDAQ Index, SP500, Dow Jones Forecasts – NASDAQ Tests New Highs

SP500

SP500 is flat as traders wait for additonal catalysts and take some profits off the table after the recent rally. Treasury yields test new highs, but this move does not put material pressure on stocks. Tech stocks were among the biggest gainers in the SP500 index today. Healthcare stocks remained under strong pressure amid worries about Trump’s executive order, which targeted high prices for medicines. Basic materials stocks were also among the losers today as traders focused on the sell-off in precious metals markets.

From the technical point of view, SP500 is stuck below the resistance level at 5910 – 5920. If SP500 manages to settle above the 5920 level, it will head towards the next resistance level at 6000 – 6010. RSI moved away from recent highs but remains in the overbought territory. However, there is enough room to gain additonal upside momentum in case the right catalysts emerge.

NASDAQ

NASDAQ moved higher as demand for tech stocks remained strong. Arm Holdings, Advanced Micro Devices and NVIDIA were among the biggest gainers in the NASDAQ index today.

The nearest resistance level for NASDAQ is located in the 21,450 – 21,500 range. A move above the 21,500 level will push NASDAQ towards the next resistance level at 21,950 – 22,000.

Dow Jones

Dow Jones pulled back as healthcare stocks continued to move lower. Merck, AMGEN, and Johnson & Jonhson were the biggest losers in the Dow Jones index in today’s trading session.

Currently, Dow Jones is trying to settle below the support level at 42,000 – 42,100. In case this attempt is successful, Dow Jones will move towards the 50 MA at 41,530. A move below the 50 MA will push Dow Jones towards the next support, which is located in the 40,900 – 41,000 range.

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