News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
EUR/USD
Bearish
Oil - US Crude
Mixed
Wall Street
Mixed
Gold
Bearish
GBP/USD
Bearish
USD/JPY
Bullish
More View more
Real Time News
  • The AB=CD pattern is simple once you know how to spot it and draw the proper Fibonacci retracements. Make your trading strategy as simple as ABCD here: https://t.co/AKmlmaAZBS https://t.co/ukvZfr6BXf
  • BoE’s Tenreyro says evidence on negative rates are “encouraging” Meanwhile, STOXX Europe Banks Index resides at all time lows https://t.co/bBYcLrtXhj
  • What is the outlook for financial markets ahead of the first presidential debate and how are Democratic nominee Joe Biden and President Donald Trump doing in the polls? Find out from @ZabelinDimitri here:https://t.co/QQwAZTxZFg https://t.co/yy0FTn9Pnp
  • Anti-fiat #gold prices suffered the worst week since August as the US Dollar gained ground. Will losses extend? All eyes turn to fiscal stimulus hopes and non-farm payrolls data. Get your #metals update from @ddubrovskyFX here: https://t.co/054CJvOWw4 https://t.co/BzODShHmqH
  • The US Dollar could gain as it forms bullish technical formations against the Singapore Dollar and Malaysian Ringgit. USD/PHP may have bottomed, will USD/IDR rise next? Find out from @ddubrovskyFX here:https://t.co/3UIKmbLIvD https://t.co/me8wMRpJjE
  • What is seasonal change in volatility. Are we going through one right now? Find out: https://t.co/G0qfpOmMl2 https://t.co/HXCQzUQgxA
  • The US Dollar will be bracing for a cascade of political risks including the first presidential debate, ongoing stimulus talks, the Supreme Court vacancy against the backdrop of key employment data. Get your #currencies update from @ZabelinDimitri here: https://t.co/quU4MmUjxA https://t.co/jF6ubwRz1P
  • The Indian Rupee may be at risk to the US Dollar as USD/INR attempts to refocus to the upside. This is as the Nifty 50, India’s benchmark stock index, could fall further. Get your $USDINR market update from @ddubrovskyFX here:https://t.co/3wsYlSxd26 https://t.co/PfIVibmqn1
  • Did you know a Doji candlestick signals market indecision and the potential for a change in direction. What are the top five types of Doji candlesticks? Find out: https://t.co/td5WA4hCZC https://t.co/lKvEMf4QRe
  • Weakness in equity markets continued last week as losses built and technical patterns hint further bearishness might be ahead. Get your #equities update from @PeterHanksFX here: https://t.co/GGVrB3r7if https://t.co/HPHUC8EG3o
S&P 500, Dow Jones Technical Forecast

S&P 500, Dow Jones Technical Forecast

2019-07-27 10:00:00
Justin McQueen, Analyst
Share:

S&P 500, Dow Jones Analysis and News

  • S&P 500 | Bearish Divergence Leaves Index Vulnerable
  • Dow Jones | Showing Signs of Exhaustion
Index Performance Chart

Source: Thomson Reuters, DailyFX

S&P 500 |The index has managed to consolidate above the psychological 3000 level following the bounce from support at 2960-65. However, further gains in the index have been curbed by the rising trendline stemming from prior record highs, thus leaving the index vulnerable to a pullback. Catalyst likely to stem from next week’s FOMC decision, particularly the Fed are less dovish than what the markets expect. The RSI on the daily time frame continues to show a bearish divergence, further adding to the view that upside momentum may be somewhat exhausted. The key support zone is situated at 2960-65, in which a break below paves the way for a 2900 test.

S&P Price Chart: Daily Time Frame (Aug 2017 – Jul 2019)

SPX Price Chart

DJIA | The index is beginning to show signs of exhaustion with the RSI closing below 60 and hitting its lowest level in over a month. Eyes will be on the weekly close, in which a close below last week’s low (27,068) may confirm that a near-term top has been set for the index. In turn, this leaves the Dow Jones vulnerable to a move towards the 26,600-26,650 zone. As a reminder, the Fed rate decision and comments by Chair Powell will be key next week.

Dow Jones Price Chart: Daily Time Frame (Jan 2019 – Jul 2019)

DJI Price Chart

RESOURCES FOR FOREX & CFD TRADERS

Whether you are a new or experienced trader, we have several resources available to help you; indicator for tracking trader sentiment, quarterly trading forecasts, analytical and educational webinars held daily, trading guides to help you improve trading performance, and one specifically for those who are new to forex.

--- Written by Justin McQueen, Market Analyst

To contact Justin, email him at Justin.mcqueen@ig.com

Follow Justin on Twitter @JMcQueenFX

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES