NASDAQ Index, SP500, Dow Jones Forecasts – Stocks Gain Ground As Traders Ignore The Sell-Off In Commodity Markets

SP500

SP500 gained ground despite sell-off in commodity markets. Traders focused on the ISM Manufacturing PMI report. The report indicated that ISM Manufacturing PMI improved from 47.9 in December to 52.6 in January, compared to analyst forecast of 48.5. Numbers above 50 show expansion. Today, traders also had a chance to take a look at the final reading of S&P Global Manufacturing PMI report. The report showed that S&P Global Manufacturing PMI increased from 51.8 in December to 52.4 in January, compared to analyst consensus of 51.9. Consumer stocks were among the biggest gainers today. Energy stocks found themselves under strong pressure as traders reacted to sell-offs in natural gas and oil markets.

Currently, SP500 is trying to settle above the key resistance level at 6990 – 7000. In case this attempt is successful, SP500 will head towards the 7050 level. RSI is in the moderate territory, so there is plenty of room to gain momentum in case the right catalysts emerge.

NASDAQ

NASDAQ moved towards the 25,850 level amid rising demand for tech stocks. Western Digital, which is up by 9.7%, is the biggest gainer in the NASDAQ index today.

If NASDAQ manages to settle above the resistance at 25,800 – 25,850, it will head towards the next resistance level, which is located in the 26,250 – 26,300 range.

Dow Jones

Dow Jones rallied as Caterpillar stock gained 4.5%. Caterpillar continues to move higher as traders stay focused on the earnings report, which was released on January 29. Disney, which was down by 7%, was the biggest loser in the Dow Jones index today. The stock pulled back on weak guidance.

From the technical point of view, Dow Jones settled above the 50 MA at 49,044 and is moving towards the nearest resistance level, which is located in the 49,500 – 49,550 range.

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