NASDAQ Index, SP500, Dow Jones Forecasts – Dow Jones Retreats Amid Profit-Taking

SP500

SP500 is swinging between gains and losses as traders take some profits off the table near historic highs. Today, traders had a chance to take a look at the Initial Jobless Claims report. The report showed that 224,000 Americans filed for unemployment benefits in a week, compared to analyst consensus of 215,000. Tomorrow, traders will focus on Non Farm Payrolls data, which will have a bigger impact on market dynamics. Analysts expect that the U.S. economy added 200,000 jobs in November, while Unemployment Rate increased from 4.1% to 4.2%. It looks that traders are cautious ahead of this report as it may trigger a wave of profit-taking. Consumer cyclical and energy stocks have been among the leaders today, while healthcare and basic materials stocks found themselves under pressure.

SP500 has recently made an attempt to settle above the 6100 level but lost momentum and pulled back below 6090. If SP500 declines below 6080, it will head towards the nearest support level, which is located in the 6020 – 6030 range.

NASDAQ

NASDAQ tested new highs but lost momentum and pulled back. Most likely, profit-taking was the key driver for this move. Tesla, which was up by 3.7%, was among the biggest gainers in the NASDAQ index today.

In case NASDAQ settles below the 21,400 level, it will move towards the support at 21,100 – 21,200. RSI has recently moved back into the moderate territory, but there is plenty of room to gain additional downside momentum in the near term.

Dow Jones

Dow Jones has recently made another attempt to settle above the key resistance at 44,900 – 45,000, but this attempt yielded no results.

A move below the 50 MA at 44,813 will push Dow Jones towards the nearest support level, which is located in the 44,400 – 44,500 range.

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