NASDAQ, Dow Jones and S&P 500 Forecast – US Indices Might Pull Back

NASDAQ 100 Technical Analysis

The Nasdaq 100 looks pretty flat in the early hours of Friday, which is not a huge surprise considering that the market had shot straight up in the air for a while and now, as you can see, we are threatening the 22,000 level. The 22,000 level obviously is a large round psychologically significant figure, but it’s also where we had previously seen a lot of resistance.

So, with that being said, I think a short-term pullback could very well be coming, and I think that offers value. On the other hand, if we can break above the 22,200 level, it’s a fresh new high, and the NASDAQ-100 is ready to continue rocking to the upside.

Dow Jones 30 Technical Analysis

The Dow Jones 30 pulled back somewhat during the early hours on Friday and I think again, this is just a situation where we’re a little overdone. We are testing the bottom of the previous uptrend line, and it seems to be offering a bit of resistance. So, it’s not a huge surprise to see if the market were to pull back that, that might hold. This over-extension, I think, opens up a move down to as low as $43,500, where we would find a lot of support based on previous market memory-based action.

S&P 500 Technical Analysis

The S&P 500 is at a fresh new high, but it’s also stagnant during the trading session on Friday in the early hours. This is the one that will probably lead the others because although it is overbought, its support is much closer to the current pricing than the other two indices.

On the other hand, we could just go straight up in the air and if we do, then I think the 6,200 level gets targeted. Regardless, this is a market that I have no interest whatsoever in shorting and therefore, I think you have to look at this through the prism of finding value.

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