Dow Jones 30 Technical Analysis
The Dow Jones 30 is slightly positive. This is one that I’m not as excited about, mainly due to the fact that it looks like we are trying to form some type of rising wedge. Maybe we go sideways instead. That’s entirely possible, but ultimately this is a market that has underperformed for some time in comparison to the Nasdaq and the S&P 500. So, I think it’s showing a little bit of malaise here. I would get long before I would get short, but I just don’t see the reason to diddle with this market right now as it’s basically killing time.
S&P 500 Technical Analysis
The S&P 500 is slightly positive in the early hours, but it is struggling with this 6,500 level. This is a large, round, psychologically significant figure that will continue to attract a lot of attention. But overall, this is a market that’s positive. You pretty much have to admit that no matter who you are, even if you are bearish. We have a little bit of an up-trending channel here as well. Probably not as clean as the NASDAQ 100, but it’s generally doing the same thing. Ultimately, I think pullbacks are buying opportunities. The 50-day EMA at 6,344 is your major support level, perhaps with the uptrend line sitting just above there. If we can break above the highs of Friday, then 6,600 could be targeted next.
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