NASDAQ Index, SP500, Dow Jones Forecasts – SP500 And NASDAQ Test Historic Highs

SP500

SP500 tests new highs as traders focus on economic reports. Retail Sales increased by +0.6% month-over-month in June, compared to analyst forecast of +0.1%. Retail Sales ex Autos grew by +0.5%, while analysts expected that they would increase by +0.3%. The strong Retail Sales report provided significant support to SP500. Today, traders also had a chance to take a look at the Initial Jobless Claims report. The report showed that 221,000 Americans filed for unemployment benefits in a week, compared to analyst forecast of 235,000. NAHB Housing Market Index increased from 32 in June to 33 in July, in line with analyst consensus. From a big picture point of view, traders focus on the strength of the U.S. economy, which is bullish for stocks.

SP500 has recently managed to climb above the resistance at 6280 – 6290 and is trying to settle above the 6300 level. In case this attempt is successful, SP500 will head towards the next resistance level at 6185 – 6195.

NASDAQ

NASDAQ tested historic highs amid rising demand for tech stocks. Interestingly, PepsiCo  was the biggest gainer in the NASDAQ index today. The stock rallied 7.7% as traders reacted to the strong quarterly report.

From the technical point of view, NASDAQ settled above the resistance at 22,850 – 22,900 and continued to move higher. If NASDAQ stays above 23,000, it will head towards the 23,500 level.

Dow Jones

Dow Jones has also moved higher in today’s trading session. Most stocks in the index gained upside momentum, while healthcare stocks found themselves under pressure.

The nearest resistance level for Dow Jones is located in the 44,600 – 44,700 range. In case Dow Jones manages to settle above the 44,700 level, it will head towards the next resistance level, which is located in the 45,000 – 45,100 range.

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