NASDAQ Index, SP500, Dow Jones Forecasts – Stocks Gain Ground Ahead Of Fed Decision

Key Insights

• SP500 moved towards the 4200 level as the rebound continued. 
• NASDAQ climbed towards 14,400 as the appetite for risk increased. 
• Dow Jones continued its attempts to settle above the resistance at 33,000 – 33,100. 

SP500

SP500 gains ground as traders prepare for tomorrow’s Fed decision. Today, traders had a chance to take a look at CB Consumer Confidence report, which indicated that Consumer Confidence declined from 103 in September to 102.6 in October, compared to analyst consensus of 100. Today’s rebound was led by Real Estate and Consumer Cyclical stocks. Meanwhile, Energy stocks remained under pressure due to the strong pullback in the oil markets. Israel-Hamas conflict stays within previous limits, which is bearish for oil and bullish for stocks as demand for riskier assets is rising.

The nearest resistance for SP500 is located in the 4200 – 4215 range. A move above the 4215 level will push SP500 towards the resistance at 4260 – 4280.

NASDAQ

NASDAQ gains ground as demand for tech stocks is growing. The pullback in NVIDIA stock, which moved lower amid reports of cancelled China orders, did not hurt the bullish sentiment.

If NASDAQ settles above the 50 MA at 14,465, it will head towards the resistance at 14,560 – 14,680.

Dow Jones

Dow Jones is also moving higher as traders hope that Powell would not be too hawkish at tomorrow’s press conference. Most stocks in the index are moving higher. Caterpillar, which is down by 6%, is the only notable loser in the Dow Jones index today.

In case Dow Jones manages to settle above the 33,100 level, it will gain additional upside momentum and head towards the next resistance at 34,000 – 34,150.

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