SPX

NASDAQ Index, SP500, Dow Jones Forecasts – NASDAQ Tests 19,000 As Tech Stocks Rally

FXEmpire.com -

SP500

SP500 050624 4h Chart

SP500 tests new highs as traders react to the strong ISM Services PMI report and focus on falling Treasury yields. ISM Services PMI increased from 49.4 in April to 53.8 in May, compared to analyst consensus of 50.8. The yield of 2-year Treasuries settled below 4.75%, while the yield of 10-year Treasuries pulled back below the 4.30% level. Today, traders also had a chance to take a look at the final reading of the S&P Global Services PMI report, which showed that Services PMI increased from 51.3 in April to 54.8 in May. This report met analyst expectations. The rally is led by technology stocks, which managed to gain strong upside momentum. Consumer defensive and utilities stocks have found themselves under pressure as traders were not interested in safe-haven assets.

SP500 has recently managed to move above the resistance at 5320 – 5330 and is trying to climb above the 5350 level. In case this attempt is successful, SP500 will head towards the 5400 level.

NASDAQ

NASDAQ 050624 4h Chart

NASDAQ moved above the resistance at 18,900 – 18,950 and is trying to settle above the 19,000 level as tech stocks rally. NVIDIA and Advanced Micro Devices stocks are among the biggest gainers in the NASDAQ index today. NVIDIA stock has finally managed to get above the $3 trillion market cap level.

RSI is close to the overbought territory, but there is enough room to gain additional momentum in case the right catalysts emerge.

Dow Jones

Dow Jones 050624 4h Chart

Dow Jones gained some ground amid a broad rally in the equity markets. However, Dow Jones did not manage to gain significant upside momentum as traders were mostly focused on tech stocks.

In case Dow Jones manages to settle above the 38,800 level, it will head towards the nearest resistance, which is located in the 39,000 – 39,100 range.

For a look at all of today’s economic events, check out our economic calendar.

This article was originally posted on FX Empire

More From FXEMPIRE:

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Tags

More Related Articles

Info icon

This data feed is not available at this time.

Sign up for the TradeTalks newsletter to receive your weekly dose of trading news, trends and education. Delivered Wednesdays.