Signs of Support for the NASDAQ
By Paul Cherney
In Friday's market, the NASDAQ established the 2061-2047 as an area of immediate intraday support. More substantial support is 2040-2016 and this is considerably (strong) support, which I do not think will be violated, although I cannot rule out an intraday print and/or a close in this area.
The NASDAQ is testing immediate resistance in the 2069-2105 area. Another day of minor weakness is possible on Monday but retracements should be shallow. The next resistance is a brick wall at 2137-2181.05 and this is the likely area for some profit-taking.
The S&P 500 has stacked supports from 1207 through to 1190. The next support is 1184-1174. The index has resistance 1217-1223 but Brick Wall resistance (and a likely spot for profit-taking) does not occur until 1227-1242.)
Cherney is Market Analyst for Standard & Poor's