Stocks climb sharply but resistance remains for buyers

US equities have moved firmly into positive territory, with the Dow adding 2.06%, the S&P 500 advancing 1.75%, the Nasdaq Composite climbing 2.40% and the Nasdaq 100 gaining 2.03%. The upside push, particularly in the tech-heavy Nasdaq measures, is notable because a Democrat sweep and the referendum votes on data centers could act as a brake on expansion. That could also curb spending and put a limit on corporate costs.

Price action and technical levels carry added weight in periods of transition and volatility. Conditions can reverse quickly, so a technical roadmap is worth having.

A quick verbal rundown highlights the following:

• Dow: The index has moved back above its 100-day moving average at 52,418. That level is the closing risk marker for buyers. Holding above it brings the next major upside objective into view near 53,794.

• S&P 500: The index is testing its 200-hour moving average near 7,700. A move above and sustained trade above it would give buyers more control, with the 7,753–7,771 swing area as the next target. Support is seen near 7,617–7,622.

• Nasdaq Composite: The bounce has put buyers in pursuit of the 100-hour moving average at 26,146, with the 100-day moving average at 26,249 next. Both levels need to be broken for the bullish case to firm up. The 200-day moving average near 25,088 remains the key support underneath.

• Nasdaq 100: The next obstacle is the swing area from 28,822 to 28,953. A break above and a hold above that zone would open the path toward the 100-hour moving average at 29,229. The 200-day moving average near 27,971 remains the key support gauge.

The buyers have their rebound. The next step is clearing resistance so the advance can continue.