NASDAQ 100, Dow Jones 30 and S&P 500 Forecast – US Indices Continue to Recover After Tariff Announcement

Nasdaq Technical Analysis

The Nasdaq 100 has gapped to the upside after it was announced over the weekend that the tariffs on Chinese goods would not be extended to consumer electronics, microchips, things like that. They will just be charged the original 20 % tariff. With this, it looks like the NASDAQ 100 is doing exactly what you would expect it to do, gap higher and start to climb.

I would pay special attention to the 19,000 level, followed by the previous trend line near the 19,400, which could cause some resistance because the market will certainly have a lot to think about. To think that the bottom is in might be wishful thinking, it’s very likely we eventually go lower. The short-term rally seems to be on the table.

Dow Jones 30 Technical Analysis

The Dow Jones 30 looks like it is going to be a little bit higher, although a little bit more subdued than the NASDAQ 100, which makes sense. It had been beaten down a lot less than the NASDAQ 100. So, there’s less to recover from. At this point, I would be paying attention to the 41,000 level above. It probably causes a bit of resistance.

S&P 500 Technical Analysis

And finally, the S&P 500 has gapped as well, came back to fill that gap and now it looks like it’s ready to go higher. The 5,600 level is an area I’d be watching for potential resistance as it was support in past. I think a short-term rally here does make a certain amount of sense, but remember, we still have a lot of chaos out there and we’re only one announcement or tweet away from seeing the markets react the way they have a couple of times here recently in a very negative manner.

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