Dow Jones 30 and NASDAQ 100 rally being quiet Monday trading

US stock markets rallied a bit during trading on Monday, in rather quiet action. The market looks likely to continue to try to go higher, but I think that the 25,000 level above is going to be a major barrier to overcome. In the meantime, it looks as if value hunters are waiting. · FX Empire

Christopher Lewis

Updated Mon, Apr 30, 2018, 10:20 PM

Dow Jones 30

The Dow Jones 30 rallied slightly during the session on Monday, showing signs of strength, but we do have a bit of noise near the 24,500 level, and that of course the 25,000 level. I think that pullbacks at this point should continue to be buying opportunities, especially considering that the uptrend line has offered support from a few sessions ago. I like the idea of buying dips as they offer value but expect a lot of volatility. The move from both McDonald’s and Apple helped the Dow Jones 30 rally, so I think we should continue to see a lot of buyers.

NASDAQ 100

The NASDAQ 100 rallied slightly during the day but found the 6700-level resistive enough to roll things over. The 6600-level underneath should be supportive, and I think that if we can break above the 6700 level, the market should try to break above the 6750 level, and then eventually the 6850 level. Longer-term, the NASDAQ 100 may struggle a bit, as technology stocks are a bit shaky. However, I still believe in the uptrend, and I think that the market respecting the uptrend line is crucial, so it’s not until we break down below at that I would consider selling. I look at dips as buying opportunities but also recognize that perhaps the Dow Jones 30 or the S&P 500 might be a better way to go.