Technical Analysis: Stocks Hang On

Sellers don’t quite have control of the market yet, as the indexes mounted a rebound after testing support today. The Nasdaq (first chart below) pierced 2050 support before recovering. To the upside, the techs face a tough first resistance level at 2085, the intersection of two downtrend lines. The S&P (second chart) bounced at 1261 today, just below our 1262-1263 support level. Resistance is 1275-1277, with 1284 above that, and first support levels are 1270 and 1266. The Dow (third chart) held the major support zone of 11,000-11,040. Resistance is 11,150 and 11,190-11,220. Bonds (fourth chart) benefited from a little flight to safety today.