Technical Analysis: Nasdaq Breaks Support

The Nasdaq (first chart below) broke support today, and was rejected at that broken trendline at today’s high (1921). On the plus side, sellers couldn’t take the market down very far, ending the day with a “doji” candlestick signaling indecision. So where to next? 1890-1900 looks like the key level on the downside (1906 was support today), and 1924 should be strong resistance tomorrow if today’s breakdown is for real. The S&P 500 (second chart) is just barely clinging to 1095 support. 1087-1090 and 1079-1080 are the next support levels, and resistance is 1100-1103 and 1108-1112. The Dow (third chart) threatened to break down out of its year-long trading range today. Support is 9725-9735 and then every 50 points from 9500-9750, and resistance is 9784-9814 (9800) and 9880.

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