NASDAQ 100, Dow Jones 30 and S&P 500 Forecast – US Indices Look for Momentum

NASDAQ Technical Analysis

The NASDAQ 100 has pulled back a little bit in the early hours on Wednesday as we continue to dance around the 50 day EMA. Ultimately, we are in an area where we are either likely to pull back and try to find a bit of buying pressure and people willing to join the fray or possibly go sideways. We did exert a lot of energy over the last four or five trading sessions. So, I think sideways down is probably the most likely attitude. Although I’m not necessarily looking to short this market. I do think that we bottomed, at least for the time being.

Dow Jones 30 Technical Analysis

The Dow Jones 30 initially pulled back during the day, but it looks like in the early hours we are, in fact, going to fight back and try to get to the recent highs near 41,000. Keep in mind that the 50 day EMA is in that neighborhood as well. And this, of course, will attract a certain amount of attention from sellers. But again, I think we’ve got a situation where we might be a little tired, but I don’t know how much downside there is at this point. I’m looking to buy dips in the Dow Jones 30 as well.

S&P 500 Technical Analysis

The S&P 500 smacked against the 50 day EMA during the previous session and now looks as if it is struggling a bit with that technical indicator. But I also recognize that we are in a situation where a little bit of exhaustion and a pullback are probably good things for the buyers here as well. The 5,600 level sits just above that 50-day EMA, so that is something to keep in the back of your mind as well, as this is an area that’s been important multiple times in the past. I do think the dips provide opportunity, and I do think that one’s probably coming. But right now, I’m just not willing to short the market anymore. I think the worst is probably behind us.

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