US Stock Market Analytics and Considerations

Key Notes

• Yesterday’s sell-off dragged the S&P 500, Nasdaq, and Dow to support thresholds.
• Prices held that support earlier in the session prior to actually rallying with in afternoon.
• The phase is currently being set for the CPI fact sheet, which is scheduled to be released on Thursday 

US stocks yesterday’s activity saw a bear market response in US equities at midday. What began as a bullish breakthrough to begin the week quickly reversed, and prices in the S&P, Nasdaq, and Dow all fled back to important support levels prior of Jerome Powell’s talk this day.

US Stocks DoW in View

Last week, the Dow formed an upward triangle. This appeared following an important support check at a significant point on the graph, around the 32,789 rate, which was the shifting rising from September. Considering the timing, that valuation coincided with a trendline representation that managed to hold the Dow’s high points for a significant portion of year, till the Q4 breakthrough.

US Stocks Technical Perspective

The support test at that trendline projection occurred on December 20th (marked by the red box on the chart and prices have since held greater along a hawkish trendline. Price, nevertheless, was not able to split out because the cap must have held around a past support level of 33,623. This horizontal resistance, coupled with higher-low support, formed an elevated triangle, which began to give ground on Friday. Prices fell yesterday and today demonstrates a support response at the previous point of resistance.

This maintains the door exposed for bulls, and for investors looking for ways to articulate bull market US equity standpoints, the Dow is currently holding one of the most bullish panoramas for US equity indices.

S&P 500

S&P 500 is still far less than its own 2022 negative trendline. The year before last, there was only one bump above a certain line, which happened in Dec just before a CPI publication. Interestingly, CPI came in under estimates, but stocks still turned around, pushing prices back to support at 3802-3810, where stood firm until the end of the month.

Another crystallization in the form of a symmetric triangular configuration developed as that support was growing. This pattern, which is typified by both lesser and greater, eventually gave way last Friday as values climbed toward band resistance in the 3912–3928 region of the graph.

Tuesday saw the continuance of the breakthrough through until the afternoon downturn, during which the price retreated quickly to support from the previous resistance. Once time, that support came in off the symmetric triangle’s apex. Akin to how it caused a rebound, this can sustain the possibility of near-term positive circumstances. After 3947, the preceding day’s peak at 3973 is the next area of brief resistance. That above, the psychological barrier of 4 k resolution, which is also a Fibonacci threshold, figures prominently because it has served as the S&P 500’s S&P 500’s several tipping points in the past 7-months.

At least initially, it’s around the 3895 mark for bears. The doorway will start to open to a string of lesser and lesser if investors can push through that, particularly if we have still not tested through into the top of 3973. This seeks to critically on a return trip to range support in the 3802-3810 vicinity. But there might be room for more based as to how CPI is implemented.

NASDAQ

The tech-focused index has historically trailed trailing American stock indexes, and that trend is still relevant today. The Fibonacci point at 10,751 and the Fibonacci level at 10,501, which together helped to hold previous 2022 low points in Q4, were the sites of the last week’s support.

Another very distinct area of support, first from 9763 level, the pre-pandemic swinging top, all of the way up to the 10,002 Fibonacci tier, with the 10k psychological level also of significance in that area, is sitting around 5percentage points down, conditional statements sellers can break-below that region.

Technical Parameters – Daily