NASDAQ 100, Dow Jones 30 and S&P 500 Forecast – US Indices Attempt to Continue the Bounce from Prior Session

NASDAQ 100 Technical Analysis

The Nasdaq 100 rallied a bit during the early hours on Tuesday but has given back some of the excess gains. At this point in time, the market continues to look very noisy, but I do think that the massive recovery that we saw later on Monday and the little bit of follow through shows that maybe some of the selling pressure is starting to get a little bit exhausted. I mean, after all, you can only go in one direction for so long.

The market rallying here isn’t necessarily a guaranteed event, but I do think that we had gotten oversold and things got out of control. So, with this, I am looking for short-term buy on the dip type of situations.

Dow Jones 30 Technical Analysis

The Dow Jones 30 has had a fairly decent rally in the early hours on Tuesday, continuing the recovery that we had seen late on Monday. So, with this, I think you have a situation where you continue to see a lot of back and forth. And I think we are in the midst of trying to form some type of basing pattern. After all, things don’t change in one instant. So, if we are to see the market rally again for a bigger move, we are going to have to stabilize and build confidence.

S&P 500 Technical Analysis

The S&P 500 is also positive in the early hours. And at this point in time, it looks like we are trying to do everything we can to hang around the 5,200 level in order to perhaps try to build up a little bit of confidence here as well. Ultimately, this is a market that given enough time, we’ll probably have to sort out what it’s going to do over the longer term. But right now, calm sideways action is actually positive. So, keep that in mind.

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