Zak Mir takes a charting look at S&P 500, Nasdaq 100, Cambium, Castle Biosciences, Davis Commodities, Evoke, Founder, Hertz, iHeartMedia, Kaixin, Relmada, Xometry, and ZK International.
I will cover the S&P and Nasdaq technicals first, then run through the individual names I am watching with key levels, targets and what needs to happen for the next leg higher.
As always, do your own research and treat these as chart-based observations rather than hard recommendations.
Market overview
S&P 500
The S&P is sitting around the 6,770 to 6,760 zone which was roughly yesterday’s close. The immediate risk is a move down toward the floor of the channel, the 50 day moving average, near 6,654. That is another 100 points or so of downside from current levels, but the RSI remains above neutral 50 so there is a chance the market bounces from here rather than rolling over.
What I want to see is price staying within the channel and then rebounding. If that happens the current levels can act as a reasonable base for a bounce.
Nasdaq 100
The Nasdaq has pulled back sharply off the highs and the AI trade is more in focus here. After yesterday’s gap down we have what looks like a bull trap island top, which is not positive. That pattern increases the chance of further downside rather than a quick recovery.
Key levels to watch:
- Old resistance around 25,200. A return there is the simple downside scenario.
- Floor of the channel and the 50 day moving average near 24,600. That is the larger downside risk.
- To invalidate the near term bearish case we need an end of day close back above the gap around 25,800.
There is also chatter that some big short positions remain in overvalued tech names such as Nvidia and Palantir, which keeps pressure on the index while sentiment recalibrates.
Summary and what to watch next
- S&P: key support 6,770 to 6,760. Watch the 50 day moving average near 6,654 for a potential bounce or deeper pullback.
- Nasdaq: the bull trap island top increases near term downside risk. Need a close above 25,800 to change the tape.
- Individual stocks: several names have constructive channel patterns and clear targets. The common themes are holding above recent broken resistance levels, RSI support above 50 and close attention to the 50 and 200 day moving averages.
More updates tomorrow as the market action unfolds.
Disclaimer & Declaration of Interest:
The information, investment views, and recommendations in this Zaks Traders Cafe interview are provided for general information purposes only. Nothing in this interview should be construed as a promotion or solicitation to buy or sell any financial product relating to any companies under discussion or referred to or to engage in or refrain from doing so or engage in any other transaction. Any opinions or comments are made to the best of the knowledge and belief of the commentator but no responsibility is accepted for actions based on such opinions or comments. The commentators may or may not hold investments in the companies under discussion.
