NASDAQ Index, SP500, Dow Jones Forecasts – Stocks Mixed As Traders React To Jobs Data

Key Insights

• SP500 settled below the key resistance at 4575 – 4600 as traders reacted to JOLTs Job Openings and ISM Services PMI reports. 
• NASDAQ gained some ground thanks to the strong performance of mega cap stocks. 
• Dow Jones pulled back as traders continued to take profits after the strong rally. 

SP500

SP500 is swinging between gains and losses as traders react to the economic data. JOLTs Job Openings declined from 9.35 million in September to 8.73 million in October, compared to analyst consensus of 9.3 million. Treasury yields tested new lows after the release of the report as bond traders bet on a more dovish Fed. Interestingly, falling yields did not provide material support to major indices, and it looks that traders continue to take profits near multi-month highs. Today, traders also had a chance to take a look at ISM Services PMI report for November. The report showed that ISM Services PMI increased from 51.8 in October to 52.7 in November, compared to analyst consensus of 52.

From the technical point of view, SP500 remains stuck below the key resistance level at 4575 – 4600. SP500 needs to climb above the 4600 level to have a chance to gain sustainable upside momentum.

NASDAQ

NASDAQ gains some ground, supported by falling Treasury yields. Interestingly, the majority of NASDAQ components are moving lower in today’s trading session, but the index is supported by big names like Apple, NVIDIA, and Amazon.

NASDAQ received strong support near the 15,800 – 15,900 range. To gain upside momentum, NASDAQ needs to settle above the 15,900 level.

Dow Jones

Dow Jones pulls back as traders take some profits off the table after the strong rally. Procter & Gamble, which is down by 3.4%, is the worst performer in the Dow Jones index today. The stock is under pressure as the company announced that it would record $2.5 billion in charges to write down the value of its Gillette business.

If Dow Jones declines below the 36,000 level, it will gain additional downside momentum and move towards the support at 35,550 – 35,700.

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