[ad_1]
Written by Axel Rudolph, Senior Market Analyst at IG
Trade Smarter – Sign up for the DailyFX Newsletter
Receive timely and compelling market commentary from the DailyFX team
Subscribe to Newsletter
S&P 500 nears its January 2022 all-time record high
The S&P continues to grind higher and is on track for its ninth consecutive week of gains and fifth straight positive day as Wednesday’s US Treasury auction went well and pushed yields lower and rate cut expectations forward to March of next year.
The index is getting ever closer to its all-time record high, made in January 2022 at 4,817, despite being the most overbought since 1991. Nearly 50% of S&P 500 stocks trade above the 70% overbought level on their 14-day simple moving averages (SMA).
Potential slips should find support around last week’s high at 4,778 with further support being found between the November and mid-December 2021 highs at 4,752 to 4,743.
DAILY S&P 500 CHART
Chart Prepared by Axel Rudolph
Nasdaq 100 trades in new all-time record highs
The Nasdaq 100’s rally off its late October low is in its ninth consecutive week of gains with it approaching the minor psychological 17,000 mark which may, at least short-term, act as resistance.
On the data front are the US goods trade balance, initial jobless claims, wholesale inventories and pending home sales as well as EIA crude oil inventories which may add a bit of volatility to stock indices and the oil price amid low volume end-of-year trading.
Potential support is seen around last week’s 16,863 high.
DAILY NASDAQ 100 CHART
Chart Prepared by Axel Rudolph
[ad_2]