Resistance Targets
S&Ps are trading at 1265.50, up 7.00, with the next upside target at 1270, which was the high of the FOMC rate-cut move. We have a neutral zone from 1257 to 1262.50. Above this, 1270, our next target is 1283.
On the downside, below our neutral zone, we would expect the market too retrace some of the final-hour rally from Friday — in particlar, the run from 1249 to 1256. We have support between 1250 and 1248.
NASDAQ is trading limit up at 1865. We are at our highest point since Tuesday’s high of 1875. Bear in mind we have a gap to fill from 1890 all the way to 1953.50 from last Monday that becomes our upside objective. Above limit up, we have resistance between 1875 and 1890.
We have support between 1850 and 1835. Below 1835, look for a move to 1820. That will fill this morning’s gap.
The Dow settled on its high and is now up on the year by 0.2%. Target is now for an eventual move to 11,400.