The June NASDAQ 100 closed sharply higher on Tuesday and above the 20-day moving average crossing at 1387.22 signaling that a short-term low has been posted. The high-range close sets the stage for a steady to higher opening on Wednesday. Stochastics and the RSI are turning neutral to bullish signaling that sideways to higher prices are possible near-term. Closes above last Wednesday’s high crossing at 1423.00 would open the door for a test of this month’s high crossing at 1437.75. Closes below the reaction low crossing at 1336.50 would open the door for a larger-degree decline into early-June. First resistance is last Wednesday’s high crossing at 1423.00. Second resistance is this month’s high crossing at 1437.75. First support is today’s low crossing at 1342.75. Second support is the reaction low crossing at 1336.50.
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The June S&P 500 index closed sharply higher on Tuesday and the high-range close sets the stage for a steady to higher opening on Wednesday. Stochastics and the RSI are turning neutral signaling that sideways trading is possible near-term. From a broad perspective, June needs to close above 929.00 or below 875.40 to clear up near-term direction in the market. First resistance is today’s high crossing at 910.90. Second resistance is last Wednesday’s high crossing at 923.20. First support is today’s low crossing at 876.90. Second support is the reaction low crossing at 875.40.
The Dow closed higher on Tuesday and above the 10-day moving average crossing at 8377. The high-range close sets the stage for a steady to higher opening on Wednesday. Stochastics and the RSI remain bearish signaling that sideways to lower prices are possible near-term. Closes below the reaction low crossing at 8230 would open the door for a larger-degree decline into early June. If the Dow renews this spring’s rally, January’s high crossing at 9088 is the next upside target. First resistance is last Wednesday’s high crossing at 8591. Second resistance is January’s high crossing at 9088. First support is the reaction low crossing at 8230. Second support is the 25% retracement level of the March-May rally crossing at 8066.
