NASDAQ Index, SP500, Dow Jones Forecasts – NASDAQ Gains Ground As Tesla Rebounds

SP500

SP500 rebounded from session lows as U.S. President Donald Trump said that he would reevaluate plans to boost tariffs on steel and aluminum from Canada. Ontario cancelled its 25% tax on electricity sent to the U.S., which was bullish for SP500 as traders bet on successful negotiations between the U.S. and Canada. Today, traders also had a chance to take a look at JOLTs Job Openings report for January. The report showed that JOLTs Job Openings increased from 7.508 million in December to 7.74 million in January, compared to analyst forecast of 7.63 million. The report did not have a material impact on markets as traders remained focused on trade wars.

Currently, SP500 is trying to stay above the support level at 5590 – 5600. RSI is in the moderate territory, and there is plenty of room to gain momentum in the near term. If SP500 settles above 5600, it will head towards the recent highs near the 5650 level. A move above 5650 will push SP500 towards the resistance level at 5685 – 5695.

NASDAQ

NASDAQ gained ground as Tesla moved away from multi-month lows. Traders used the strong sell-off in Tesla shares as an opportunity to initiate long positions at attractive levels.

The nearest resistance level for NASDAQ is located in the 19,600 – 19,650 range. In case NASDAQ manages to settle above the 19,650 level, it will move towards the next resistance at 20,200 – 20,250.

Dow Jones

Dow Jones has also managed to rebound from session lows, although the index remained in the negative territory. Verizon, which was down by 5.7%, was the worst performer in the Dow Jones index today. The stock found itself under pressure as the company warned about soft wireless subscriber growth in the first quarter.

In case Dow Jones settles above the resistance level at 41,700 – 41,800, it will head towards the next resistance at 42,400 – 42,500.

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