Major US Indices, Forecast for The Week of July 31, 2017, Technical Analysis

S&P 500 The S&P 500 went sideways during the week, selling on a slightly negative candle. We continue to see support just below at the 2450 handle though, and I think that market level will continue to attract a lot of attention. I also recognize that the 2500 level above is massively important, it makes … Continue reading Major US Indices, Forecast for The Week of July 31, 2017, Technical Analysis · FX Empire

Christopher Lewis

Updated Sun, Jul 30, 2017, 1:22 AM

S&P 500

The S&P 500 went sideways during the week, selling on a slightly negative candle. We continue to see support just below at the 2450 handle though, and I think that market level will continue to attract a lot of attention. I also recognize that the 2500 level above is massively important, it makes quite a bit of sense that traders will try to aim for that large, round, psychologically significant number. The market is very likely to see pullbacks, but I think we are well supported down to the 2400 level and I essentially look at that as the “floor” in the market. Given enough time, I think the volatility picks up and then we reach above the 2500 level, which would be a very significant move… Read More

Dow Jones 30

The Dow Jones 30 initially fell during the week but found enough support near the 21,500 level to turn around and rally significantly. Towards the end of the day Friday, we started to break out, and it looks as if the Dow Jones 30 will continue to find plenty of buying pressure. With this in mind, I believe that buying dips continues to be the way forward, and I think we are going to go much higher. I believe that the next target will be the 22,000 handle, and that longer-term traders continue to look at the overall earnings in the United States with favorable eyes. I think that the softening US dollar will of course help as well with the Federal Reserve being dovish… Read More

NASDAQ 100

The NASDAQ 100 didn’t do as well as the Dow Jones 30. The tech stocks got a bit beaten, and we ended up with a relatively neutral candle near the 5900 level. I think that we may consolidate in the NASDAQ 100 of the next couple of weeks, but I still believe that the general direction is up. The 5800 level below should be massively supportive, and I think that the 6000 level above will be massively resistive. If we can break above the 6000 handle, that would be an extraordinarily strong sign as the markets will then begin the next leg higher. I have no interest in shorting the NASDAQ 100 as long as we are above the 5500 level, which we should be for some time. The NASDAQ 100 is simply going to take a break while we build up more momentum to the upside in my estimation. Because of this, I look at it is a “one-way market”… Read More

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