Traders may want to watch some levels as stocks take another beating.
The S&P 500, Nasdaq-100 and Dow Jones Industrial Average are each sitting at some price zones that technicians may consider important.
The S&P 500, for instance, has a price range between June 29’s low of 2692 and last week’s trough around 2710. It’s currently trying to stay in that range. (Click here for more on the index’s broken trend line.)
The Dow Jones is trying to hold support around last week’s low of 24,890. That level also reaches back to an old peak from mid-April.
And then you have the Nasdaq-100. Somewhere around 7,000 lie both January’s high and June’s low. It’s now back below that level, which was highlighted as a potentially key support zone on Market Action. Will it hold, especially now that semiconductors have broken key support?
By the way, the Russell 2000 (IWM) has broken well below last week’s zone and is all the way back to its lowest levels since April.
Disclosure: This post is intended for education purposes only.