Dow Jones Futures: Market Rally Faces Key Resistance; Time To Buy Apple Stock — Or Short?

Dow Jones futures will open Sunday evening, along with S&P 500 futures and Nasdaq futures. The stock market rally held support levels last week. Now can the S&P 500 move above its 200-day moving average in the coming days and weeks? Apple (AAPL) could be key.

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Apple stock held key levels and rose modestly even as the overall market generally retreated. Like the S&P 500, the iPhone tech titan is coming back toward its 200-day line. A decisive move above that level could offer a buying opportunity. But another rejection could offer another chance to short AAPL stock.

Meanwhile, fellow Dow Jones components Boeing (BA), JPMorgan Chase (JPM) and GS stock have quietly been on significant runs in the past several weeks, contributing to the Dow’s outperforming in the current market rally. BA stock technically is right around a traditional buy point. Goldman Sachs (GS) is forging a deep base while JPM stock still has work to do.

Dow Jones Futures Today

Dow Jones futures open at 6 p.m. ET on Sunday, along with S&P 500 futures and Nasdaq 100 futures.

Remember that overnight action in Dow futures and elsewhere doesn’t necessarily translate into actual trading in the next regular stock market session.

Join IBD experts as they analyze actionable stocks in the stock market rally on IBD Live

Stock Market Rally Analysis

Last week, the Dow Jones Industrial Average rose less than 0.1% in last week’s stock market trading. The S&P 500 index declined 0.7% and the Nasdaq composite slumped 1.5%. The small-cap Russell 2000 gave up 1.75%.

On Tuesday, Nov. 15, the S&P 500 briefly topped 4,000, getting close to the 200-day moving average. That level is especially important because the benchmark index was turned back just 1 point from the 200-day line on Aug. 16, triggering another leg in the bear market.

A decisive move above the 200-day line, which would also roughly coincide with a declining-tops trendline from the Jan. 4 all-time high, would be a powerful signal that the uptrend is more than a bear market rally.

The S&P 500 clearing the 200-day line would also be a positive…

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