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Dow Jones (DJIA), Nasdaq Weekly Forecast – Bullish Break of Bear Reversal Next?

By: fxleaders|2025/05/10 07:00:12
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Nasdaq and Dow Jones indexes stopped at key levels this week, suggesting exhaustion after rallying for a month. U.S. equity markets ended the week on a mixed note, with most major indices registering slight declines, with Dow Jones falling 0.16% for the week. While Friday’s session showed limited movement, the broader trend suggests markets are pausing after a strong run-up in recent weeks. Dow Jones Chart Weekly – The Bounce Has Stalled at the 50 SMA Both the Nasdaq index and the Dow Jones Industrial Average stalled at key resistance indicators, such as the 50 SMA (yellow) on the weekly chart which stopped DJIA this week. That moving average comes at 21,175 points, which was the high for the week, and the weekly candlestick is locking like a doji. That points to a bearish reversal, so let’s see next week how the price action will be. Nasdaq Chart Weekly – Stalling at the 20 SMA Nasdaq has also made a strong comeback since the early April low, but it failed at the 50 weekly SMA as well. This moving average used to act as support during pullback when Nasdaq was trading higher, not it might turn into resistance, so let’s see if there will be a bullish break next week or reverse back down. Closing Levels for Major U.S. Indices – Daily and Weekly Wrap-Up Investors appear to be reassessing valuations amid shifting expectations around trade tariffs interest rates and earnings, which were mainly positive for Q1, as today’s Rumble Q1 earnings report showed, with sent the RUM stock around 20% higher today. The Russell 2000’s modest weekly gain hints at rotation into smaller-cap names, but overall, sentiment remains cautious heading into next week’s key inflation data and earnings releases.

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