NASDAQ Index, SP500, Dow Jones Forecasts – NASDAQ Gains Ground As Broadcom Soars 24.7%

SP500

SP500 pulled back from session highs after an unsuccessful attempt to get to the test of the strong resistance level at 6090 – 6100. Treasury yields continue to move higher as traders prepare for the Fed decision, which will be released next week. The yield of 2-year Treasuries moved above the 4.24% level, while the yield of 10-year Treasuries tested the 4.40% level. Rising Treasury yields may put some pressure on stocks. However, it should be noted that stock traders have mostly ignored Treasury yield dynamics in recent weeks. Tech was the only sector that managed to gain upside momentum in today’s trading session. Basic materials stocks were among the biggest losers as traders focused on the strong pullback in precious metals markets.

In case SP500 declines below the support at 6020 – 6030, it will move towards the next support level, which is located in the 5980 – 5990 range.

NASDAQ

NASDAQ managed to gain some ground as demand for tech stocks remained strong. Broadcom, which gained 24.7%, was the biggest gainer in the NASDAQ index today. The stock rallied as traders reacted to the strong earnings report. The company predicts that demand for AI chips would grow at a robust pace.

NASDAQ received support near the 21,600 – 21,650 range and is trying to gain additional upside momentum. In case this attempt is successful, it will head towards the 22,000 level.

Dow Jones

Dow Jones continues to lose ground as shares of NVIDIA fall. NVIDIA stock is down by 2.6% as traders worry that U.S. will introduce additional measures against China, which will hurt the company’s sales.

Currently, Dow Jones is trying to settle below the support at 43,800 – 43,900. In case this attempt is successful, Dow Jones will move towards the next support level at 43,200 – 43,300.

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