Wall Street edged higher last Friday, with the Dow Jones Industrial Average coming within 0.37 points of 20,000 hitting 19,999.63 intraday, to close the week at 19,963.80, up by 64 points or 0.32%. The S&P 500 advanced roughly 8 points, or 0.35%, to 2,276.99, trading in record territory, whilst the Nasdaq Composite added 33 points or 0.60% to settle at 5,521.06. Looking beyond the negative headline of the US Nonfarm Payrolls report released on Friday, wages growth hit a new post-recession high, as average hourly earnings increased by 2.9% YoY. Nike was the best performer within the Dow, up by 1.60%, followed by Walt Disney, up by 1.49% and Goldman Sachs that gained 1.48%. The daily chart presents a modest upward potential, as the index is holding above a flat 20 DMA, but far above the 100 and 200 DMAs, whilst technical indicators turned modestly higher, but with no strength, and with the Momentum indicator still around 100. In the 4 hours chart, the 20 and 100 SMAs converge around 19,895, providing a major dynamic support, whilst technical indicators turned lower within positive territory, not enough to confirm an upcoming bearish move.
Support levels: 19,940 19,895 19,853
Resistance levels: 20,000 20,045 20,100