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Dow Jones (51,775.17)
The index has come down failing to sustain the initial rise. This indicates the absence of strong follow-through buying. Key resistances are at 51,960 and 52,350.
The bias is negative. The Dow Jones can fall to 51,000-50,800 in the short term. If it manages to bounce back thereafter, then a rise to 51,500-52,000 can be seen again.
But a break below 50,800 can increase the selling pressure. Such a break can drag the Dow Jones down to 50,600 or even 49,800 going forward.
So, the price action in the 51,000-50,800 region will need a close watch.
S&P 500 (7,580.07)
The break below 7,600 has happened in line with our expectation. That keeps intact our overall bearish view. The region between 7,600 and 7,620 will now act as a good resistance and cap the upside.
The S&P 500 index can fall to 7,500 or even to 7,480-7,460. A corrective bounce to 7,600 is a possibility thereafter. If this corrective rise fails to take the index above 7,600, then the downside pressure will increase. In that case, a fresh fall can drag the S&P 500 index down to 7,400 or even 7,300 over the medium term.
For now, allow for a fall to 7,500-7,460 and then a corrective rise.
NADAQ Composite (25,437)
The outlook remains weak. Near-term resistance is in the 25,900-26,000 region. NASDAQ Composite index can fall to 25,000-24,800. The chances of the fall extending 24,000 also cannot be ruled out. Cluster of supports are there in the broad 24,800-24,000 region.
In case the index manages to bounce back from the 25,000-24,800 zone itself, then a corrective rise to 25,500-26,000 is a possibility. The price action in the 25,000-24,800 region will need a close watch this week.
Dollar Outlook
The dollar index (101.96) has come down from the high of 102.49 last week. However, the broader bias remains positive and the view remains the same.
Support in the 101.30-101.20 region will limit the downside. Below that, 101-100.90 is the next important support zone.
The dollar index can rise back and breach the immediate resistance level of 102.50. Such a break can take the dollar index higher to 103-103.50.
The outlook will turn negative only if the index breaks below 100.90. If that happens, then a fall 100 and lower levels can be seen.
Treasury Yield
The US 10Yr Treasury Yield (4.93 per cent) fell for the fourth consecutive week. It failed to get a strong follow-through rise above 5 per cent. It touched a high of 5.05 per cent and has come down from there.
A fall to 4.85-4.8 per cent is possible now. Thereafter the 10Yr Yield can rise back to 5-5.05 per cent again. That in turn will keep the broader uptrend intact. An eventual break above 5.05 per cent can then take the yield higher to 5.2 per cent and higher.
The long-term picture looks bullish to see 5.6 per cent.
Published on October 31, 2026
