US indices: Are there signs of a continuation of the rally? Analysis & Outlook

US indices: Are there signs of a continuation of the rally? Analysis & Outlook

According to a report by stock3.com, the US indices are all up in the pre-market and above their previous highs in the rally since the end of October. The question many investors are asking is whether this signals a continuation of the rally.

The Dow Jones continued to rise in yesterday's trading and reached a daily high of 35,518 points. The index thus traded above the all-time high and the annual high above the downward trend. In premarket trading, the index is trading above yesterday's high. A breakout of this downtrend could allow a direct rally continuation towards the annual high at 35,679 points and perhaps even towards the resistance at 35,824 points. However, if the index fails to follow this downward trend, it could lead to a fall back to 35,007 points.

The Nasdaq 100 tested the support zone at 15,932-15,904 points yesterday. Today the index is trading significantly more strongly in the premarket and is even priced just above the previous annual high of 16,119 points. If the pre-market rise is confirmed, a direct continuation of the rally would be possible with a medium-term target of around 17,000 points.

The S&P 500 opened slightly weaker yesterday, then recovered, but failed to reach the rally high of 4,568 points and fell back slightly again. Today the index is trading well above its previous rally high in the premarket. A breakout above 4,568 points could lead to another rally push.

These developments in the US market could also have an impact on the global market, particularly on European stock exchanges. Investors should keep a close eye on developments as they could potentially have a major impact on their investment portfolios.