Dow Jones 30 and NASDAQ 100 Price Forecast October 25, 2017, Technical Analysis

Dow Jones 30

The Dow Jones 30 rallied slightly during the day on Tuesday but then exploded to the upside as Caterpillar had better than anticipated earnings, being a catalyst for more bullish pressure in the market. I believe that short-term pullbacks continue to be buying opportunities, and quite frankly the market looks all but set on going to the 23,500 level above. I believe that we should continue to see support near the 23,250 level, as the market has been continuing to find one reason after another to go higher. I will be the first to say that we are overdone, so longer-term traders are probably looking for pullbacks to take advantage of as they would offer value. I have no interest in shorting this market, pullbacks will be looked at with suspicion, and the first signs of support will probably be bought by algorithmic traders.

Dow Jones 30 and NASDAQ Index Video 25.10.17

NASDAQ 100

The NASDAQ 100 went sideways initially during the day but eventually found buyers. It looks as if the 6050 level is going to continue to be massively supportive, and although the NASDAQ 100 is no longer leading the rest of the US indices higher, it certainly is in a market that I want to be shorting as US stocks, in general, have done well. A breakdown below the 6050 level only has this market looking for support at the 6000 level, so therefore this is a market that continues to offer value. Given enough time, I think we break above the 6125 level and reach out to fresh, new highs. The longer-term target is still 6200, but it’s going to take a while to get there obviously as technology stocks have softened a bit in their massive bullishness.