Indexes Technical Forecast: Bearish
- S&P 500 below key trend in March
- Dow Jones may soon be sub-30k
- Nasdaq 100 is the leading lower, 200 days MA in sight
S&P 500 Technical forecast
The S&P 500 broke the trend line of March last week and positioned for more losses. Given the scale of the march in the eleven months before the start of the current downturn, it seems a broader sale is justified. It can play the 200 days or worse before everything is said.
The RST pattern we were looking at is in full swing, with the 3694 low focus. Below that lies support around 3630, then around 3530 before reaching the rising 200, currently at 3466. If the market wants to move on to the broader target, it could take a while, maybe a few weeks to fully play out.
S&P 500 daily chart (below trend line)
S&P 500 Chart by Tradingview
Dow Jones Technical Forecast
The Dow jones keeps the best of the big 3 up (but is also going to break the March trend line), but if a risk-off move continues, it will not be spared. The first slight level of support to see clocks around 29850, then 29568 (high 2020), followed by the rising 200 days at 28432. If the market can usually rise rapidly here, given the relative strength shown by the Dow, it may be the best option for prospective extensions.
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Look at the quarterly forecast of EQUITIES
Dow Jones Daily Chart (may soon lose 30,000 points)
Dow Jones Chart by Tradingview
Nasdaq 100 Technical Forecast
The Nasdaq 100 leads the broader market lower and is able to continue. The head-and-shoulders pattern is in full swing, and based on the height of the pattern, the measured shift goal is in line with the 200-day, currently at 11656. Getting things moving is a good amount of work need this point.
Nasdaq 100-day chart (considering 200-day MA)
Nasdaq 100 Chart by Tradingview
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— Written by Paul Robinson, Market Analyst
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