I used to believe that the US stock market has not hit the bottom yet. I did believe that US market will dive down the 2002 level.
However, after looking at the stock market trends of US market chart today, I believe that the market has entered into a sideway market because the market has rebounded strongly at the recent support. Sideway market means the market will rebound from support and retrace from resistance. It is a great opportunity for stock market trading.
Let’s take a look at the US Stock market trends now!
Dow Jones Stock Market Trends
Dow Jones is trading between a support level at 8,194 and resistance level at 9,654. It is trading in this 1,500 points interval.
The lowest point at 2002 is at 7,100. This is about 1,000 apart from the recent low.
As the recent low is very near to the 2002 low, it is likely to believe that the market may be hovering at this level in a sideway market. If there isn’t any more bad news, that market will hold strong at this level. If there is some continuation of the bad news of melt down, the market can go down to test the 7,100 level.
Dow Jones Stock Market Trends
S&P 500 Stock Market Trends
S&P500 is trading between a support level at 845 and resistance level at 1006.
Lowest level of S&P500 ins 2002 is about 768 level. You can see that this pattern is very similar to the Dow Jones that we mentioned above. I ever heard someone telling me that 60% to 80% of the time that the market is trading in sideway market. Long at support and short near resistance is one the best trading system many traders are practicing.
US S&P500 Stock Market Trends
Nasdaq Stock Market Trends
Nasdaq is trading between a support level at 1,504 and resistance level at 1,778.
Lowest level of Nasdaq in 2002 is 1,110 level. Among the 3 stock market indices, Nasdaq is the only one that is still trading still very far from the 2002 low. Does that mean that there is still quite a big opportunity that the Nasdaq will drop to the 2002 low, well, I am not sure. If the Nasdaq really break the 1,504 support, there is a possibility that Nasdaq can dive down further.
US Nasdaq Stock Market Trends
DISCLAIMER: This information is used for learning purposes only. It does not constitute an offer or solicitation to buy or sell. You should do your own analysis on top of my postings.
Welcome back to InvestMoneyLab, you can now join our Facebook Friend of InvestMoneyLab to get a FREE Book by T. Harv Eker Now! You can also receive latest profitable trading system and stock picks for free in future. Thanks for visiting!
