Dow edges up while S&P 500 struggles and Nikkei 225 comes under pressure
Rising yields have continued to put pressure on global indices, though the Dow is holding support for now.
Dow Jones sees renewed buyer interest
Earlier gains this week stalled at 43,000, but once again, Dow Jones buyers have stepped in to defend the recent lows above 42,000.
If these lows continue to hold, we may witness another push towards 43,000. Beyond this level, the late December high of 43,300 looms. A close above this mark could set the index on a trajectory to retest its record highs at 45,000 once again.
Wall Street daily chart
S&P 500 fails to make gains
The S&P 500 index has faced challenges in making gains this month, retreating from 6000 earlier in the week.
The formation of two lower highs since the December record high supports a short-term bearish outlook. However, support remains intact around 5850. Should the index begin to climb, the initial targets are 6000, followed by 6050.
S&P 500 daily chart
Nikkei 225 retreats from highs
Gains proved fleeting for the Nikkei 225 index as well, which briefly surpassed 40,000 earlier in the week before falling back.
Support was established at the end of December and in early January around 39,200. Should the index drop below this level, it could be headed towards the mid-December low of 38,260.
Nikkei 225 daily chart
The information on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG Bank S.A. accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer.
Seize your opportunity
Deal on the world’s stock indices today.
- Trade on rising or falling markets
- Get one-point spreads on the FTSE 100, 1.2 on the Germany 40, and 0.4 on the US 500
- Unrivalled 24-hour pricing
See opportunity on an index?
Try a risk-free trade in your demo account, and see whether you’re on to something.
- Log in to your demo
- Try a risk-free trade
- See whether your hunch pays off
See opportunity on an index?
Don’t miss your chance – upgrade to a live account to take advantage.
- Get spreads from one point on the FTSE 100, 1.2 on the Germany 40, and 0.4 on the US 500
- Trade more 24-hour indices than any other provider
- Analyse and deal seamlessly on smart, fast charts
See opportunity on an index?
Don’t miss your chance. Log in to take your position.
Live prices on most popular markets
- Forex
- Shares
- Indices
Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.
