NASDAQ Index, S&P 500 and Dow Jones Forecasts – US Indices Fall in Electronic Overnight Trading

Dow Jones 30 Technical Analysis

The Dow Jones 30 is down at the 49,000 region as it gapped lower. But again, this is a situation where I think it’s probably only a matter of time before we recover, and the headlines over the weekend, of course, give us some type of reason to get long.

If the market were to fall from here, the 50-day EMA could come into the picture as support, but I think that’s probably pretty far away. I wouldn’t be surprised at all to see this thing turn around and, in fact, am looking to take advantage of that if and when it happens.

S&P 500 Technical Analysis

The S&P 500 gapped lower as well, but it sees itself somewhat supported by the 50-day EMA just below current pricing. Underneath there, you have the 6800 level that I think will be important as well, as we are still very much in an uptrend.

The 7000 level above is a large, round, psychologically significant figure that a lot of people will be watching, and I do think eventually we break above there. Obviously, it has been a bit of a barrier, and with the noise coming out of the geopolitical trade situation, maybe this is just going to end up being a buying opportunity. That certainly is how I’m looking at it, but we will have to see how Wall Street reacts on Tuesday because it is Martin Luther King Jr. Day on Monday. That being said, I still remain bullish.

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