The September NASDAQ 100 closed higher on Monday and above the 50% retracement level of last summer’s decline crossing at 1522.75 as it extends this month’s rally. The mid-range close sets the stage for a steady opening on Tuesday. Stochastics and the RSI are overbought but remain bullish signaling that sideways to higher prices are possible near-term. If September extends this month’s rally, the 62% retracement level of last summer’s decline crossing at 1635.44 is the next upside target. Closes below the 20-day moving average crossing at 1459.73 would temper the near-term friendly outlook in the market. First resistance is today’s high crossing at 1541.75. Second resistance is the 62% retracement level of the aforementioned decline crossing at 1635.44. First support is the 20-day moving average crossing at 1459.73. Second support is last Wednesday’s gap crossing at 1453.25.
The September S&P 500 index closed higher on Monday as it extends this month’s rally. The high-range close sets the stage for a steady to higher opening on Tuesday. Stochastics and the RSI are overbought but remain bullish signaling that sideways to higher prices are possible near-term. If September extends this month’s rally, June’s high crossing at 952.50 is the next upside target. Closes below the 10-day moving average crossing at 904.52 would confirm that a short-term top has been posted. First resistance is today’s high crossing at 945.50. Second resistance is June’s high crossing at 952.50. First support is the 20-day moving average crossing at 905.09. Second support is last Wednesday’s gap crossing at 903.90.
The Dow closed higher on Monday as it extends this month’s rally. The high-range close sets the stage for a steady to higher opening on Tuesday. Stochastics and the RSI are overbought but remain bullish signaling that sideways to higher prices are possible near-term. If the Dow extends this month’s rally, June’s high crossing at 8877 is the next upside target. Closes below the 20-day moving average crossing at 8410 are needed to confirm that a short-term top has been posted. First resistance is today’s high crossing at 8827. Second resistance is June’s high crossing at 8877. First support is the 20-day moving average crossing at 8410. Second support is the reaction low crossing at 8087.
