NASDAQ Index, SP500, Dow Jones Forecasts – Dow Jones Pulls Back From Historic Highs

SP500

SP500 is mostly flat as traders wait for stronger catalysts. Today, traders focused on NFIB Business Optimism Index report, which showed that Business Optimism improved from 91.5 in September to 93.7 in October, compared to analyst consensus of 91.9. Traders also had a chance to take a look at RCM/TIPP Economic Optimism Index report. The report indicated that Economic Optimism improved from 46.9 in October to 53.2 in November, compared to analyst forecast of 47.3. Treasury yields moved higher, but this move did not have a major impact on stock market dynamics. Tech stocks were among the biggest gainers in SP500 today, while most market sectors have found themselves under pressure.

SP500 has recently made an attempt to settle below the support at 5980 – 5990 but failed to develop sufficient downside momentum and moved back above the 6000 level. If SP500 stays above 6000, it will move towards historic highs at 6031.

NASDAQ

NASDAQ has quickly rebounded after pullback as demand for tech stocks remained strong. Tesla, which is down by 5.1%, was among the biggest losers in the NASDAQ index today. The stock found itself under pressure as traders took profits off the table after the recent rally.

From the technical point of view, NASDAQ needs to settle above the nearest resistance at 21,100 – 21,200 to gain additional upside momentum in the near term. RSI is in the moderate territory, so there is plenty of room to gain momentum in case the right catalysts emerge.

Dow Jones

Dow Jones pulled back from historic highs amid profit-taking. AMGEN, which was down by 7.4%, was the worst performer in the Dow Jones index today.

The nearest support level for Dow Jones is located in the 43,800 – 43,900 range. A move below the 43,800 level will push Dow Jones towards the next support at 43,200 – 43,300.

For a look at all of today’s economic events, check out our economic calendar.