Stock Markets dance towards new records ahead of a long weekend – Dow Jones, Nasdaq and S&P 500 Intraday Levels

• Markets are rebounding higher as traders continue to remain optimistic for the peace deal
• With Trump boasting about the rally to new records, nothing seems to be barring the path to All-time highs
• Exploring Technical Levels for the Dow Jones, Nasdaq and S&P 500

US stock benchmarks are aggressively dancing back toward uncharted territory as a massive wave of geopolitical optimism sweeps across the trading floor, right ahead of a long weekend for the US, for Memorial Day.

Traders are feeling optimistic thanks to the ongoing diplomatic efforts, quickly moving past the doubts they had yesterday – The main reason for today’s strong relief rally is a Sky News report confirming that an agreement regarding the nuclear issue was reached. This diplomatic step is meant to help secure a formal end-of-war deal, easing tensions in the Middle East and giving risk assets the hope they need.

President Trump is highlighting the strong rally, signaling that the administration views this as a clear path to new all-time highs – The threat of renewed warfare that worried markets last week is quickly fading.

Oil prices are falling, breaking below key support levels and easing the inflation concerns that had worried bond markets. As geopolitical risks decrease, institutional investors are moving back into riskier stocks, fueling a strong bullish trend.

The tech-focused Nasdaq is leading the way, setting new records as semiconductor and Magnificent 7 stocks continue to rise.

The S&P 500 is also regaining strength as overall market sentiment improves. At the same time, the Dow Jones Industrial Average is moving higher, breaking through resistance and heading back toward its prior record (Futures actually broke their prior record).

With immediate geopolitical risks fading, the market is also appreciating the sworn-in from Kevin Warsh.

Now, let’s take a look at the intraday charts and trading levels for the Dow Jones Industrial Average, Nasdaq Composite, and S&P 500.

Discover:

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• USD/JPY trades close to 160.00 after Japan's CPI – More interventions required? – FX Analysis
• Asia open: Stock markets surge on US-Iran peace progress and soft Japan CPI

Dow Jones technical levels for trading:

Resistance Levels

• Potential resistance 50,800 to 50,900 (daily highs 50,858)
• Next stop 51,000 - 51,100

Support Levels

• Prior ATH resistance 50,400 to 50,500 (now pivot)
• Pivotal Support – 49,000 to 49,100 (short-term bearish below)
• Momentum Support 48,500
• Pivotal Support at 48,000 (mid-term bearish below)
• Mini Support 47,400 to 47,600

Nasdaq technical levels of interest:

Resistance Levels

• 29,500 - 29,600 current resistance
• Current ATH 29,698
• Next stop 30,000

Support Levels

• 29,100 - 29,250 momentum pivot
• 28,500 Minor support
• 28,000 Major psychological resistance now Pivot (and channel highs)
• 27,500 micro-support
• Prior ATH Support 26,200 to 26,300

S&P 500 technical levels of interest:

Resistance Levels

• 7,500 - 7,525 Daily ATH Resistance
• Current ATH 7,524

Support Levels

• 7,430 - 7,450 Intraday Pivot
• 7,400 Key support (Short-term bearish below)
• 7,320 to 7,340 Past week retracement
• Pivotal Support 7,250 to 7,260
• Prior ATH Pivot 7,000 to 7,020
• Minor Support 6,880 to 6,900

Keep track of WTI Crude and the latest headlines throughout the week to stay ahead of the game.

Safe Trades!

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