The S&P 500 index closed sharply lower on Thursday and below the 10-day moving average crossing at 907.39 signaling that a short-term top has been posted. The low-range close sets the stage for a steady to lower opening on Monday.
Stochastics and the RSI are turning neutral signaling that sideways to lower prices are possible near-term. Closes below last week’s low crossing at 884.30 would renew the decline off June’s high while opening the door for a possible test of the reaction low crossing at 874.00.
First resistance is Wednesday’s high crossing at 928.20. Second 
resistance is June’s high crossing at 952.50. First support is today’s low crossing at 896.30. Second support is last Tuesday’s low crossing at 884.30.
The Dow closed lower due to pre-holiday profit taking on Thursday as it consolidates some of the rally off June’s low. The low- range close sets the stage for a steady to lower opening on Monday. Stochastics and the RSI are turning neutral to bearish signaling that sideways to lower prices are possible near-term. If the Dow resumes the decline off June’s high, the reaction low crossing at 8221 is the next downside target.
Closes above the 20-day moving average crossing at 8549 are needed to confirm that a short-term low has been posted. First resistance is the 20-day moving average crossing at 8549. Second resistance is Wednesday’s high crossing at 8580. First support is today’s low crossing at 8313. Second support is last Thursday’s low crossing at 8259.
The NASDAQ 100 closed sharply lower due to profit taking ahead of the July 4th holiday on Thursday and closed below the 10-day moving average crossing at 1459.80. The low-range close sets the stage for a steady to lower opening on Monday.
Stochastics and the RSI are turning neutral hinting that a short-term top is in or is near. From a broad perspective September is locked in a trading range. Closes above 1516.00 or below the 1412.00 are needed to confirm a breakout of the current trading range and point the direction of the next trending move.
First resistance is Wednesday’s high crossing at 1496.25. Second resistance is June’s high crossing at 1516.00. First support is today’s low crossing at 1441.25. Second support is last Tuesday’s low crossing at 1421.00.
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