Jump to content

S&P 500 and Nasdaq 100 Technical Outlook for the Days Ahead

Recommended Posts

S&P 500 and Nasdaq 100 Technical Outlook for the Days Ahead

Aug 2, 2022 | DailyFX
Paul Robinson, Strategist


  • S&P 500 still has room to rally before big resistance comes into play
  • Nasdaq 100 is trading around meaningful resistance at this time


The S&P 500 continues to take back losses experienced during the first half of the year, but at some point with the rally viewed as only a recovery it is anticipated that we will see a major turn lower develop.

The timing of a recovery bounce through summer towards fall is lining up nicely for an old-school macro-style downturn into the worst period of the year for stocks. From where stocks will start to turn down from, though, is the big question.

The S&P still has a little room to run before a peak may be seen. The 4200 level is seen as potentially quite meaningful. If a noteworthy top doesn’t develop there, then a run towards the declining 200-day and trend-line off the record highs may be in order. That would get us to the low 4300s. This is seen as the best case scenario for stocks.

We are seeing a little weakness to start the week, but barring it morphing into major selling it is only viewed as interim weakness before another push higher develops. There is a steep trend-line rising up from the middle of July that may turn momentum back higher. Hard to say, though, without further trading to determine where stocks may turn back higher from. A shallow pullback/consolidation could firm up the outlook for a continuation trade towards 4202.


S&P 500 daily chart

S&P 500 Chart by TradingView

The Nasdaq 100 is at a very interesting juncture right now, with big resistance standing in its way around 12950. We are seeing price stall and while it could put a dent in the rally, higher levels could be around the bend with the S&P still looking like it has upside room.

I’ll be watching to see how the market reacts off resistance. If we see a sharp downturn soon then perhaps the tides in the market are starting to turn already. If resistance can be overcome then watch the channel line off the December peak, currently around the 13275 mark.


Nasdaq 100 daily chart

Nasdaq 100 Chart by TradingView

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
    IPS Temp Admin
    Joined 06/10/22 15:40
  • Posts

    • Commodity Markets: Forex, Bonds, US Gold, Silver, Iron Ore,Copper Lithium,Nickel, Crude Oil, Natural Gas. Elliott Wave   Commodities Market Summary: The USD DXY USDJPY are heading higher into Wave iii) and iv) corrections so are the FX pairs and so are GDX and US Spot Gold. So, there are no larger trends, just corrections.   Trading Strategies: No strategies as markets are in small corrective patterns.   Video Chapters 00:00 US Gov Bonds 10 Yr Yields 00:44 US Dollar Index DXY USDJPY, EURUSD, AUDUSD 05:50 US Spot Gold / GDX ETF 08:41 US Spot Silver 11:20 US Copper / Lithium / Nickel / Iron Ore 19:01 Crude Oil 21:21 Natural Gas 27:11 End   Analyst Peter Mathers TradingLounge™ Australian Financial Services Licence - AFSL 317817   Source: tradinglounge com Access Trial here... buy 1 month Get 3 months              
    • Hi @AndaIG, Please could the [LOUP] Innovator Deepwater Frontier Tech ETF be listed and made available for the ISA tax wrapper, pretty please? Many thanks, Sam
    • Look ahead to 31/5/23: China PMI; France GDP; Germany CPI Economic data is key on Wednesday. It starts in Japan with retail sales, followed by Chinese PMI.  Jeremy Naylor | Analyst, London | Publication date: Tuesday 30 May 2023  IGTV’s Jeremy Naylor looks at the chances that the Chinese yuan will weaken further as it becomes more and more obvious that the recovery in China is further away than initially expected. Then in the eurozone we’re looking at the CAC 40 and DAX as growth and inflation data is released. The only corporate on the schedule is from stationers, WH Smith.          
  • Create New...