I am viewing the price action of the last week in the Nasdaq as a confirmation of support in the 1742-1696 area. Intraday (short-term) charts look constructive. On a fundamental basis, there is still caution ahead of the first quarter earnings reports, but usually, most of the bad news is delivered to the markets before the bulk of the earnings reports start to flow. Think about what happened this past week. IBM and GE, two of the generals, disappointed but the markets could only move to established support levels; they did not break through and fall off a cliff.
There might not be terrific upside, but the downside looks limited (in the short-run). In the longer-term, The markets are going to have to demonstrate the ability to overcome resistance levels. And the resistance levels I think they have to overcome would be a Nasdaq close above 1805 level, and an S&P 500 close above
Immediate Nasdaq support intraday support is 1746-1741. The more substantial support as depicted by the daily charts is 1742-1696.
Immediate intraday resistance for the NASDAQ is 1753-1772 and 1769-1803 whih makes the 1769-1772 area a focus of resistance
The S&P 500 has immediate resistance 1117-1136 with a focus of resistance 1121-1125.
The S&P 500 has immediate intraday support 1109-1102. The large band of buying support in the daily charts is 1111-1052 and this past week's price action found support right in the upper edge of this 1111-1052 area.