NASDAQ Index, SP500, Dow Jones Forecasts – Stocks Move Lower Amid Profit-Taking

SP500

SP500 is losing some ground as traders take some profits off the table ahead of the weekend. Trump’s tariff policy remains a key driver for the market, although traders will likely switch their attention to inflation data next week. Treasury yields continue to move higher as traders reduce bets on dovish Fed. From a big picture point of view, this move did not have a material impact on stock market dynamics. Energy stocks were among the biggest gainers in the SP500 today as traders reacted to the rally in the oil markets. Traders wait for potential announcement of new sanctions on Russia, which will be bullish for oil and oil-related stocks. It should be noted that most market sectors moved lower in today’s trading session.

The technical picture remains unchanged as SP500 is stuck below the resistance level at 6280 – 6290. RSI is in the moderate territory, and there is plenty of room to gain momentum in case the right catalysts emerge.

NASDAQ

NASDAQ moved lower amid lack of additional positive catalysts. The pullback was not strong, and some traders were ready to buy the dip.

From the technical point of view, NASDAQ needs to settle above the resistance at 22,850 – 22,900 to gain additional upside momentum in the near term. A move above the 22,900 level will open the way to the test of the 23,500 level.

Dow Jones

Dow Jones declined towards the 44,300 level amid broad pullback in the equity markets. Visa, which was down by 2.8%, was the biggest loser in the Dow Jones index today.

In case Dow Jones settles below the 44,300 level, it will gain additional downside momentum and move towards the nearest support, which is located in the 43,900 – 44,000 range.

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