The Nasdaq's Sweet Spot

Odds favor an extension higher for the index in Thursday's session

By Paul Cherney

If the Nasdaq can manage to print above the 1680.30 level for more than 4 minutes on Thursday, then the odds would increase for additional gains in Thursday's session. Odds would favor an extension higher and a move into the next layer of intraday resistance which is 1696-1708. This is what I expect to see. Resistance becomes very thick with prints 1729-1760.

The Nasdaq index has major resistance 1777-1832.

Immediate support for the Nasdaq is 1669-1599, with a focus of support at 1653.10-1630.80.

The S&P 500 has resistance at 1085-1089, then 1102-1114.73; there is a focus of resistance at 1105-1109. Prints above 1089 for more than 4 minutes would increase the chances for a move back above the 1102 level and into the focus of resistance (1105-1109).

Immediate intraday S&P 500 support is 1080.76-1072.64. The index has well-defined support throughout the whole 1087-1064 area.

Cherney is chief market analyst for Standard & Poor's

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