Jump to content

S&P 500, Nasdaq 100, Dow Price Forecasts: Stocks Gap Up to Fresh Highs

Recommended Posts


Wall Street - Wikipedia

Stocks have continued their post-FOMC ramp and the S&P 500 has already set a fresh two-month-high. The big driver for this morning is continued hope for de-escalation in Ukraine, with reports that Russia was withdrawing forces from Kyiv. This helped U.S. equities to gap at the open to continue a rather stunning reversal from the lows set two weeks ago. In the Nasdaq 100 – that ramp has amounted to as much as 17.41% - in two weeks.

The big level of note for today in the Nasdaq 100 is the psychological level at 15k. This spot provided a bit of resistance in mid-February before bears went on the prowl to create fresh 10-month lows the day before the FOMC rate hike. While the index is already stretched, there’s another spot of resistance just ahead, plotted around the current two-month-high and up to a Fibonacci level at 15,307. This could be a spot to plot for possible pullbacks, with 15k offering some element of support potential.


Nasdaq 100 price chart

Chart prepared by James Stanley; Nasdaq 100 on Tradingview

S&P 500

The S&P 500 is already trading at a fresh two-month-high after a strong gap-up this morning. The big level of note here is 4600, which was support from early-January which then became resistance on multiple occasions in early-February, just before the index broke down to fresh lows. Yesterday’s price action saw a breakout run up to this zone ahead of the US close, but the overnight move has powered through and this morning’s gap has helped the index to test above this key spot on the chart.

At this point, that zone that runs from the approximate 4590-4600 and can be re-purposed for short-term support potential. If that can’t hold or if we end up with a blow-off move over the next couple of days, 4538 remains of interest for support potential as it showed as resistance but, as yet, hasn’t shown much for support.


SPX four hour price chart

Chart prepared by James Stanley; S&P 500 on Tradingview


The big level in the Dow is the 35k psychological level. Just last week there was a test of support at a key area on the chart around the 32,500 zone, which led to a strong bounce which eventually led to a fresh monthly high.

The 35k level was last in play as an intra-day high on February 16th which led to a fresh 11-month-low. As of this writing it looks like the 35k level is already showing as short-term support for pullback themes after this morning’s gap. But, there’s another spot of support a bit deeper, plotted from around 34,800.


Dow Jones four hour price chart

Chart prepared by James Stanley; Dow Jones on Tradingview

--- Written by James Stanley, Senior Strategist for DailyFX.com. 29th March 2022

Link to comment

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
  • General Statistics

    • Total Topics
    • Total Posts
    • Total Members
    • Most Online
      10/06/21 10:53

    Newest Member
    Joined 24/03/23 16:01
  • Posts

    • Charting the Markets: 24 March The FTSE 100, DAX 40 and Nasdaq 100 slide on renewed banking woes while EUR/USD, EUR/GBP and GBP/USD drop as the US dollar, gold appreciate due to flight-to-quality flows. Crude oil and copper tumble on recession fears.  Axel Rudolph FSTA | Senior Financial Analyst, London | Publication date: Friday 24 March 2023         This is here for you to catch up but if you have any ideas on markets or events you want us to relay to the TV team we’re more than happy to.  
    • Market Breakdown | WTI Oil, EURUSD, GBPNZD, EURAUDHere are the updates & outlook for multiple instruments in my watchlist.1️⃣ WTI Oil daily time frame️The market is trading in a long term bearish trend .After the last sharp bearish movement, the market is steadily recovering.Ahead, I see a major horizontal supply area.Probabilities are high, that the next bearish wave will initiate from there.2️⃣ EURUSD daily time frameAfter a breakout of a solid daily resistance, the market is preparing for its retest.Watch carefully the underlined zone and look for buying opportunities from there.3️⃣ EURAUD weekly time frameThe pair is currently approaching a weekly horizontal resistance cluster.Taking into consideration, that the pair is quite overbought, probabilities will be high to see a pullback from that4️⃣ GBPNZD daily time frameThe pair is currently retesting a broken neckline of an ascending triangle . As we discussed earlier, the trend line of a triangle and its neckline compose a contracting buy zone now.Chances will be high that the next bullish wave will initiate quite soon.For Additional confirmation use: Divergence Indicators
    • #CHFJPY: Classic Bearish Setup 🇨🇭🇯🇵   🔻CHFJPY has nicely respected a confluence zone based on a horizontal 4H resistance and a 0.5 retracement of the last bearish impulse.   The price formed a double top pattern on that and broke its neckline.   Probabilities will be high that the pair will drop lower soon. Goals: 141.172 / 140.363  
  • Create New...