Analysis

The September NASDAQ 100 posted a quiet inside day with a higher close on Monday. Stochastics and the RSI are overbought but remain neutral to bullish signaling that sideways to higher prices are possible near-term. The mid-range close sets the stage for a steady to higher opening when Tuesday's night session begins trading. If June extends the rally off this month's low, April's high crossing at 7910.75 is the next upside target. Closes below the 20-day moving average crossing at 7454.04 would confirm that a short-term top has been posted. First resistance is last-Thursday's high crossing at 7821.00. Second resistance is April's high crossing at 7910.75. First support is the 20-day moving average crossing at 7454.06. Second support is June's low crossing at 6969.00.

The September S&P 500 closed slightly higher on Monday. The mid-range close sets the stage for a steady to higher opening when Tuesday's night session begins trading. Stochastics and the RSI are overbought but remain neutral to bullish signaling that sideways to higher prices are possible near-term. If September extends this month's rally into uncharted territory, upside targets will be hard to project. Closes below the 20-day moving average crossing at 2867.25 would confirm that a short-term top has been posted. First resistance is last-Friday's high crossing at 2967.50. Second resistance is unknown. First support is the 10-day moving average crossing at 2918.75. Second support is the 20-day moving average crossing at 2867.25.

The Dow posted an inside day with a higher close on Monday. The mid-range close sets the stage for a steady to lower opening when Tuesday's night session begins trading. Stochastics and the RSI are overbought but remain neutral to bullish signaling that sideways to higher prices are possible near-term. If the Dow extends this month's rally, last-October's high crossing at 26,951.81 is the next upside target. Closes below the 20-day moving average crossing at 25,872.74 would confirm that a short-term top has been posted. First resistance is last-Friday's high crossing at 26,907.37. Second resistance is last-October's high crossing at 26,951.81. First support is the 10-day moving average crossing at 26,353.44. Second support is the 20-day moving average crossing at 25,872.74.