NASDAQ Index, SP500, Dow Jones Forecasts: Gains Continue as Investors Eye Fed Meeting Outcome

Key Insights

• U.S. stock futures, including Dow, S&P 500, and Nasdaq, edge up by 0.2%, signaling investor optimism ahead of the Federal Reserve’s policy meeting.
• Major indices post fourth consecutive session of gains, with the Dow Jones, S&P 500, and Nasdaq Composite rising by 0.5%, 0.5%, and 0.7% respectively.
• Investors eagerly await the Fed’s decision and comments from Fed Chair Jerome Powell, especially on potential future rate cuts.

Quick Fundamental Outlook

U.S. stock futures rose slightly as investors anticipated the Federal Reserve’s latest policy meeting, expecting a lower future interest rate path. Dow Futures increased by 0.2%, while S&P 500 and Nasdaq 100 Futures both climbed 0.2%.

This optimism follows a fourth consecutive session of gains in major indices, with the Dow Jones, S&P 500, and Nasdaq Composite rising by 0.5%, 0.5%, and 0.7% respectively, buoyed by November’s consumer prices indicating a disinflationary trend. Investors await the Fed’s decision, widely expected to maintain current rates, focusing on Fed Chair Jerome Powell’s comments.

Powell’s stance on rate cuts, amid market speculation of a potential cut next spring, will be closely watched. Additionally, Netflix stocks increased premarket after releasing viewership data and projections of surpassing Disney+ in U.S.

advertising revenue next year. In the oil sector, prices slightly rebounded following a drop to six-month lows, with U.S. crude and Brent up by 0.2%, awaiting official inventory data from the Energy Information Administration.

SPX SP500 Prices Forecast

The S&P 500 Index, as of today, showcases an upward movement, currently at 4,643.69, up by 0.46%. Its pivot point is at $4,614, with resistance levels at $4,690, $4,751, and $4,806. Support levels are identified at $4,551, $4,495, and $4,427.

The Relative Strength Index (RSI) stands at 74, indicating the index may be overbought. The Moving Average Convergence Divergence (MACD) is at 2.02, with a signal line at 31.080, suggesting bullish momentum. The index is trading above its 50-day Exponential Moving Average (EMA) of $4,519, reinforcing a bullish trend.

Chart analysis indicates a double top breakout above the 4,610 level, pointing towards potential movement towards the $4,690 or $4,750 levels.

In conclusion, the SPX is showing a bullish trend, especially above the $4,614 mark. The technical indicators and chart patterns suggest that the index is likely to test higher resistance levels in the short term.

Dow Prices Forecast

The Dow Jones Industrial Average, as of December 13th, displays a slight gain, trading at 36,631.21, up by 0.12%. Key resistance levels are identified at $36,688, $36,800, and $36,866, with the pivot point at $36,499.

Support is established at $36,309, $36,143, and $35,951. The Relative Strength Index (RSI) at 75 suggests overbought conditions, while the Moving Average Convergence Divergence (MACD) at 18.91 against a signal of 133.98 indicates bullish momentum.

The index is above its 50-day EMA of 36,186.14. Chart analysis shows an ascending triangle breakout, supporting a bullish trend. Overall, the Dow exhibits a bullish stance above $36,500, likely testing higher resistances shortly.

NASDAQ Prices Forecast