The U.S. stock market indices finally gained some support after the U.S.-China trade war was declared “on hold”. As you know, the stock markets are very sensitive towards any news causing war sentiments. That’s one of the reasons stock markets were trading bearish bias during the previous week.

Secondly, the indices look poised to continue a bullish move, especially if the surge in oil prices remain intact. The energy sector companies are finally getting some benefits from the rising oil prices and these appear to gain the attention of investors. As mentioned in our Weekly Economic Event Outlook, the stock indices can remain highly volatile on the release of FOMC Meeting Minutes and Core Durable Goods Orders this week.

Let’s take a look at the weekly support and resistance levels for SPX and DJIA.

S&P500- SPX- Trading Levels

Support     Resistance

2579.11        2697.91

2542.42       2734.6

2483.02      2794

Key Trading Level:    2638.51

DJIA- Dow30 – Trading Levels

Support     Resistance

23445.64      24567.64

23099.05     24914.23

22538.05     25475.23

Key Trading Level:    24006.64