Technical Checks For The U.S. Equity Indices: 23.03.2018

Dow Jones Industrial Average [DJI30]

After registering heavy declines on Thursday, the DJI30 is near to six-week low but oversold RSI and the 23625-20 horizontal-support might confine the gauge’s further downside, failing to which could quickly fetch the quote to 200-day SMA level of 23420. Given the sellers’ dominance over equity-index after 23420 breach, the 23250-40 and the 23150-45 could flash in their radars to target. Alternatively, the 24000, the 24200 and the 24440 are likely nearby resistances that the index has to conquer in order to regain its status above 24600. However, 100-day SMA level of 24740, followed by a downward slanting trend-line, at 25130, could keep limiting additional upside of the U.S. equity benchmark.

S&P 500 [SP500]

Contrast to the DJI30, the S&P 500 still has some room for its south-run before confronting an important support level of 2589, comprising 200-day SMA; though, 2600 round-figure may offer immediate rest to the index. Should prices closes below the 2589 mark on a D1 basis, the 2555 and the 2530-25 might try disappointing Bears, if not then one can quickly witness numbers between 2491-85 on the chart. Meanwhile, a daily close beyond 2650 could trigger the gauge’s pullback towards 2680 and the 100-day SMA level of 2695. Moreover, the index up-moves above 2695 can have the 2710, the 2725 and the 50-day SMA level of 2743 as consecutive resistances to clear ahead of aiming the 2780 trend-line.

Nasdaq [NQ100]

Nasdaq is presently struggling with 100-day SMA level of 6617 in order to justify latest south-run, which if not broken on a daily closing basis can pull that up in direction to the 6685, the 6755 and the 6800 resistances. During the gauge’s further upside above 6800, the 50-day SMA level of 6827 and the 6880 could act as intermediate halts prior to reigniting the importance of 6990 – 7000 region. On the downside, the 6525, the 6500 and the 6420 may test the Index weakness while 6350 and the 6265, including 200-day SMA and an upward slanting TL, could restrict its following drops.

Cheers and Safe Trading,
Anil Panchal