NASDAQ Index, SP500, Dow Jones Forecasts – Stocks Rebound From Session Lows In Wild Trading Session

SP500

SP500 rebounded from session lows as traders reacted to tariff news. U.S. President Donald Trump said he would impose an additional 50% tariff on China in case the country did not remove its 34% tariff on U.S. goods. Meanwhile, reports indicated that the U.S. held negotiations with several countries that wanted to discuss tariffs. Trade war news will remain the key driver for SP500 in the upcoming trading sessions. Real estate and energy stocks were among the biggest losers in the SP500 index today. Real estate shares found themselves under pressure as traders focused on rising Treasury yields. Energy stocks moved lower as traders reacted to the pullbacks in the oil and natural gas markets.

Currently, SP500 is trying to settle back above the resistance at 5020 – 5030. In case this attempt is successful, SP500 will move towards the next resistance level, which is located in the 5090 – 5100 range.

NASDAQ

NASDAQ rebounded from session lows as traders used the strong pullback as an opportunity to initiate long positions at attractive levels. Most likely, short-covering have also provided material support to the NASDAQ index today.

If NASDAQ stays above the support at 17,300 – 17,350, it will move towards the nearest resistance level at 18,000 – 18,050. From a big picture point of view, traders should be prepared for fast moves as NASDAQ will remain volatile in the upcoming trading sessions.

Dow Jones

Dow Jones is losing ground as traders worry that tariffs will push the economy into recession. Apple, which is down by 5.2%, is the worst performer in the NASDAQ index today.

In case Dow Jones settles below the support level at 37,900 – 38,000, it will move towards the next support level at 37,200 – 37,300. RSI is in the oversold territory, but there is enough room to gain additional downside momentum in case the right catalysts emerge.

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