Technical Analysis: Stocks Take a Breather

A breather before the big jobs report tomorrow. As long as wage growth comes in at 0.3% or less, the market should be fine. The Nasdaq (first chart below) faces resistance at 2370, and support is 2340 and 2328-2333. The index is getting pretty overbought, with -DI, or selling pressure, all but drying up, and next week begins the weakest six months of the year for stocks. The Dow (second chart) is once again pausing at 11,230-11,250 resistance; above that, 11,350-11,426 is next. Support is 11,150, 11,100 and 11,050. The S&P (third chart) faces major resistance at 1310-1316, and 1300 and 1295 are support. Long bond yields (fourth chart) continue to push multi-year highs. How will stocks handle a 5-handle on interest rates?