NASDAQ Index, SP500, Dow Jones Forecasts – NASDAQ Tests 20,000 As Tesla Gains 8.9%

SP500

SP500 gains ground as traders react to the better-than-expected JOLTs Job Openings report and Powell’s remarks about inflation. JOLTs Job Openings increased from 7.92 million in April to 8.14 million in May, compared to analyst consensus of 7.91 million. The job market remains in a decent shape, highlighting the strength of the economy. Fed Chair Powell said that prices were showing disinflation trend, which means that Fed may soon start thinking about cutting rates. Treasury yields moved lower despite strong JOLTs data. The yield of 2-year Treasuries pulled back below the 4.75% level, while the yield of 10-year Treasuries settled below 4.45%. Most market sectors were moving higher in today’s trading session, although healthcare, basic materials, and energy stocks found themselves under pressure.

The technical picture remains extremely bullish. SP500 received strong support near the 5440 – 5450 level and looks ready to test the key resistance at 5520 – 5530.

NASDAQ

NASDAQ tests resistance at 20,000 – 20,100 as Tesla gains 8.9%. The stock gained strong upside momentum as the company’s second-quarter deliveries exceeded analyst expectations.

A move above the 20,100 level will push NASDAQ towards the 21,000 level. RSI remains in the moderate territory, which is bullish for the NASDAQ index.

Dow Jones

Dow Jones gains some ground as market sentiment is bullish. However, the move is modest as traders stay focused on tech stocks.

From the technical point of view, Dow Jones managed to settle above the 50 MA at 39,195, which is bullish for the index. In case Dow Jones settles above the 39,300 level, it will head towards the nearest resistance at 39,700 – 39,800. On the support side, a successful test of the 39,000 – 39,100 level will open the way to the test of the next support, which is located in the 38,500 – 38,550 range.

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