NASDAQ Index, S&P 500 and Dow Jones Forecasts – US Indices Continue to Look Strong

NASDAQ 100 Technical Analysis

The Nasdaq 100 has shown itself to be Bullish yet again as we are continuing to really look at the upside as the only real way to get involved at this point. So, with that being said, I believe you have a situation where short-term pullbacks are likely, but they also will be buying opportunities, with $22,250 level or so being significant support. I do think that the market is going much higher at this point.

It’s clear that we do not want to fall, but we are a little overextended. So, I’m looking for an opportunity to pull back in order to buy cheap contracts. Keep in mind that this is a non-farm payroll week and it’s actually on Thursday because of the July 4th holiday. So, this might be a somewhat compressed market.

Dow Jones 30 Technical Analysis

The Dow Jones 30 continues to rally as well and in fact is in the process of trying to break out to the upside. Short-term pullbacks offer support at 43,750 and then again at 43,000. I have no interest whatsoever in shorting this market. If we pull back, I’ll just be looking for a bounce that I can take advantage of.

S&P 500 Technical Analysis

The S&P 500 has broken out of that channel that I’ve been talking about and now we are entering an impulsive phase. Not a huge surprise, I think any pullback at this point in time will attract a certain amount of attention near the 6,150 level, an area that previously was at all-time high. A certain amount of market memory and psychology comes into the picture in that area. I do think that eventually we get to the 6,300 level, probably quicker than most people think, as we have been on an absolute tear to the upside. So, I like the idea of buying dips. I don’t know that I would chase it all the way up here, but certainly there’s only one direction you can be looking at.

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