Indices to Watch April 1, 2024

SPX: The index makes a nominal new ATH on Thursday. Yet, it is only mid channel of a very strong rising channel. The bottom channel line and 20 ema providing good support for the index. Support 5185. Targets 5300 and 5400 over the next 60 days. Chart remains very bullish.

NDX: The index made a nominal new ATH last week and now forming a bull flag. It remains in a strong rising channel with the 20 ema and the rising bottom channel line providing good support. We still have a 21000 target by this summer. Support 18100 and 17800. Chart remains very bullish.

DJIA: The Dow has made a short term double top last week trading to 39868. But it is mid channel of a strong rising channel with the 20 ema providing good support. Support 39260 and 39100. Loo for the Dow to trade to our 41000 target before summer. Chart remains very bullish.

DJTA: The transportation index remains in a consolidation pattern for the last 4 months. But it is right at the break out level at 16200 and the more times it tests it the more likely it goes through it. Next resistance 16750. Over 17100 would be a major Dow Theory buy confirmation signal for markets. The current pattern is bullish.

IWM: The broader market ETF is forming a large cup and handle pattern breaking out over the key resistance at $210 on Thursday. Continuation over $210 would be a huge 2 year range break out (very bullish). Next resistance $227 and $234. Chart is very bullish.

FAS: The financial sector ETF remains in a strong rising channel making a nominal new 52 week high on Thursday. The 20 ema is providing strong support. $120 and $130 next targets. Back under $100 would be negative for markets.

LABU: The biotech sector ETF held support at $125 and is moving out of the down trending channel. Resistance at $141. Over that level and we should see a move back to $175 and $195. Chart remains bullish.

SMH: The semiconductor ETF remains in a strong rising channel, but sector rotation has put pressure on the sector. It is on support at the bottom rising channel line and the 20 ema. Support $221 and $214. Much below that would be negative for markets. Targets $240 and $250 on the short term. The new technological revolution will continue to drive this sector for years to come.

GUSH: The oil E&P ETF continues in a strong rising channel breaking out through the long term declining tops line and lateral resistance around $34. The 50 ema has just crossed up through the rising 200 dma (golden cross, bullish). Next resistance $43 and $49. Chart remains bullish.

NUGT: The gold miner ETF broke out through key resistance on Thursday at $34 (long term declining tops line and lateral resistance). Next resistance $38. Maybe watch for a pop in here with a pull back entry at $34 when it test support. In the alternative take 1/2 position at this level and add if it pops and then pulls back. Chart is now bullish.

Technical Indicators: 68.9% of stocks are above their 40 dma and the McClellan Oscillator sits at 71.8. VIX is very bullish at 13 (no fear in the mega-caps. The markets are neither overbought nor oversold. There is lots of internal energy in the markets for the strong trends to continue as indices make new ATHs. Look for that trend to continue.