Yesterday the American indices dropped heavily. All three of them finished the session significantly below their S1 support levels. Today they are falling even more. From the data front, new home sales in January will be published. Anyway, let’s move on to the analysis, S&P 500 first:
S&P 500
The S&P 500 dropped deeply yesterday. The price finished the session significantly below the S1 support level, at 4215. Today it is falling even more. The price is already below today’s S1. If the buyers don’t generate some serious appetite soon, the price could go down below 4100 today. But if they do, the price might return above today’s S1 and even reach 4200.
NASDAQ 100
NASDAQ 100 also dropped heavily yesterday. The price finished the session significantly below the S1 support level, slightly below 13500. Today it is falling even more. The price is already below today’s S1. If the buyers don’t generate some serious appetite soon, the price could go down below 13000 today. But if they do, the price might return above today’s S1 and even reach 13400.
Dow Jones Industrial Average
The DJIA index dropped deeply yesterday as well. The price finished the session significantly below the S1 support level, slightly above 33000. Today it is falling even more. The price is already below today’s S2. If the buyers don’t generate some serious appetite soon, the price could go down below 32000 today. But if they do, the price might return above today’s S1 and even reach 32800.