S&P 500, Nasdaq 100 & Dow Charts Have Important Support Levels to Watch

SP 500/Nasdaq 100/Dow Jones Technical Highlights:

  • SP 500 may bounce soon but looking for early-year lows still
  • Dow Jones Feb ’16 Feb ‘18 trend-lines at hand
  • Nasdaq 100 continues to lead weakness, nearing earlier-year lows

With global stocks falling sharply, see how this fits into our outlook for the remainder of the year in the Q4 Global HEquities Forecast.

SP 500 may bounce soon but looking for early-year lows still

When I last discussed U.S. indices they were sitting considerably higher, and it was noted that traders should beware of a steep decline even if the worst of the down-move was over. At this time we are presented with at best a double-bottom retest in the SP 500. However, with the bull market leader, the Nasdaq 100 and its leading group of stocks (‘FAANG’), already having made an important new low, more weakness is expected.

However, a sharp bounce could develop, first, as volatility is expected to remain high for the foreseeable future and support levels are nearby. In conjunction with the October low at 2603 there is a trend-line extending over from February (it’s not the most

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