Technical Update - S&P 500 and Nasdaq 100
Kim Cramer Larsson
Technical Analyst, Saxo Bank
S&P 500 closed higher Friday just touching the 100 daily SMA and 0.618 Fibonacci retracement of the January peak – February low Bearish move. What is more interesting though, is that RSI closed above 60 threshold for the first time since mid-January i.e. now indicating positive/Bullish sentiment.
S&P500 is likely to traded higher and could test February double tops at around 4,595. A likely scenario is for S&P 500 to touch 4,600 in a short term exhaustive move and then retrace.
For Bearish trend to resume first signal could be a close below 4,455.
Rebound in Nasdaq 100 is lagging S&P 500 still trading below 200 SMA and RSI still below 60 i.e in negative/Bearish sentiment. However, if S&P500 is a leading indicator Nasdaq 100 could trade higher testing strong resistance at around 15,165. 200 SMA will offer resistance and 100 SMA is coming down also putting a pressure on the rebound.
If this rebound fizzles and Nasdaq 100 closes below 14,342 selling pressure is likely to resume.
Quarterly Outlook Q2 2022
Quarterly Outlook Q2 2022: The End Game has arrived
- Shocks from covid and the war in Ukraine have forced the global financial and political world to change, but what will the end game be?
Productivity and innovation have never been more importantAs the world economy hits physical limits and central banks tighten their belts, could equities be facing a 10-15% downside?
The great EUR recovery and the difficulty of trading itIf the terrible fog of war hopefully lifts soon, the conditions are promising for the euro to reprice significantly higher.
Tight commodity markets – turbocharged by war and sanctionsWith supply already tight, commodities keep powering on. But will it last for yet another quarter?
Between a rock and a hard placeGeopolitical concerns will add upward price pressures and fears of slower growth, while volatility will remain elevated.
The Great ErosionInflation is everywhere and central banks try to combat it. But will they get it under control in time?
Australian investing: Six considerations amid triple Rs: rising rates, record inflation and likely recessionWhile global financial markets are struggling in an uncertain world, the commodity-heavy Australian ASX index is poised to keep a positive momentum.
Cybersecurity – the rush to catch up with realityWith the invasion of Ukraine, governments and private companies are rushing to reinforce their cyber defenses.