NASDAQ Index, SP500, Dow Jones Forecasts – NASDAQ Pulls Back As Microstrategy Dives 4.3%

SP500

SP500 is mostly flat in quiet trading. Traders are not ready for big moves after Christmas. Today, traders had a chance to take a look at the Initial Jobless Claims report. The report indicated that Initial Jobless Claims declined from 220,000 to 219,000, compared to analyst consensus of 224,000. The report showed that the job market remained in decent shape. Treasury yields pulled back from session highs, providing some support to stocks. The yield of 2-year Treasuries declined towards the 4.32% level, while the yield of 10-year Treasuries settled near 4.57%. Energy stocks were among the worst performers today as traders reacted to the pullbacks in natural gas and oil markets.

Currently, SP500 is trying to settle back above the 6050 level. In case this attempt is successful, SP500 will move towards the strong resistance at 6090 – 6100. On the support side, a move below 6030 will push SP500 towards the 50 MA at 6003.

NASDAQ

NASDAQ has managed to rebound from session lows as demand for tech stocks remained strong. Microstrategy, which is down by 4.3%, is the worst performer in the NASDAQ index today. The stock is losing ground as Bitcoin declined below the $96,000 level.

In case NASDAQ settles above the 21,900 level, it will head towards the resistance at 22,050 – 22,100. On the support side, a successful test of the support at 21,600 – 21,650 will open the way to the test of the next support level at 21,100 – 21,200.

Dow Jones

Dow Jones  tests resistance at 43,200 – 43,300 amid rising demand for defensive stocks.

In case Dow Jones manages to settle above the 43,300 level, it will move towards the next resistance level at 43,900 – 44,000. RSI remains in the moderate territory, so there is plenty of room to gain momentum in case the right catalysts emerge.

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