NASDAQ Index, SP500, Dow Jones Forecasts – NASDAQ Rebounds From Session Lows As Traders Buy The Dip

Key Points:

• SP500 rebounded towards the 5950 level, supported by rising energy stocks.

• NASDAQ moved away from session lows as traders bet on a rebound after the recent pullback.

• Dow Jones climbed towards the resistance at 42,700 - 42,800. ### In this article:

• US SPX 500

-0.76%

• US Tech 100

-0.89%

• US Wall St 30

-0.61%

• MSTR

-4.34%

• BA

-1.93%

• Bitcoin

+0.51%

SP500

SP500 301224 4h Chart SP500 moved away from session lows as traders used the pullback as an opportunity to increase their long positions at attractive levels. Most market sectors were under pressure in today’s trading session. However, energy stocks managed to gain upside momentum as traders focused on the strong rally in natural gas markets. Today, traders had a chance to take a look at the Dallas Fed Manufacturing Index report for December. The report showed that Dallas Fed Manufacturing Index improved from -2.7 to +3.4, compared to analyst consensus of -0.4. The Pending Home Sales report has also exceeded analyst expectations. The report indicated that Pending Home Sales increased by 2.2% month-over-month in November, compared to analyst forecast of +0.7%. From a big picture point of view, markets are volatile ahead of the New Year as some traders are willing to take profits off the table.

The nearest significant resistance level for SP500 is located in the 5980 – 5990 range. A move above the 5990 level will push SP500 towards the next resistance level, which is located near historic highs at 6090 – 6100.

NASDAQ

NASDAQ 301224 4h Chart NASDAQ has also managed to rebound from session lows, although the index remained in the negative territory. Microstrategy, which was down by 4.6%, was the worst performer in the NASDAQ index today. The stock was moving lower as Bitcoin made an attempt to settle below the $92,000 level.

In case NASDAQ manages to settle above the 21,400 level, it will head towards the nearest resistance at 21,600 – 21,650.

Dow Jones

Dow Jones 301224 4h Chart Dow Jones found support near the 42,200 level and rebounded towards the resistance at 42,700 – 42,800. Boeing, which was down by 2%, was the worst performer in the Dow Jones index today. The stock pulled back as traders reacted to the Boeing 737-800 crash in South Korea.

A successful test of the resistance at 42,700 – 42,800 will push Dow Jones towards the next resistance level at 43,200 – 43,300.

For a look at all of today’s economic events, check out our economic calendar.