NASDAQ Index, SP500, Dow Jones Forecasts – Stocks Pulled Back From Session Highs

SP500

SP500 pulled back from session highs as traders took some profits off the table ahead of Fed decision, which will be released tomorrow. Today, traders had a chance to take a look at the Retail Sales report for August. The report indicated that Retail Sales increased by +0.6% on a month-over-month basis, compared to analyst consensus of +0.2%. Industrial Production grew by +0.1% month-over-month in August, while analysts expected that it would drop by -0.1%. Traders also focused on the NAHB Housing Market Index report, which showed that NAHB Housing Market Index remained unchanged at 32 in September. Energy stocks were among the biggest gainers today as traders reacted to the rally in the oil markets. Utilities and basic materials stocks have found themselves under strong pressure.

From the technical point of view, SP500 continues its attempts to settle above the resistance at 6610 – 6620. A move above the 6620 level will push SP500 towards the 6650 level. RSI has recently pulled back into the moderate territory, so there is plenty of room to gain momentum in the near term.

NASDAQ

NASDAQ has also moved away from historic highs amid profit-taking. However, there is no serious selling pressure as traders expect that Powell’s comments will be dovish.

In case NASDAQ stays above the resistance at 24,200 – 24,250, it will head towards the 24,500 level.

Dow Jones

Dow Jones continues its attempts to settle below the nearest support level, which is located in the 45,700 – 45,800 range.

If Dow Jones manages to settle below the 45,700 level, it will head towards the next support at 45,000 – 45,100. On the upside, a move above the 45,800 level will open the way to the test of the resistance at 46,100 – 46,200.

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