US stocks extend gains, DJIA and S&P close at record highs

US stocks extended gains on Thursday, with the DJIA and the S&P closing at fresh all-time highs. Equities in Wall Street surged in midday trading, as another batch of encouraging US data - including producer price index and jobless claims - spooked fears of economic slowdown.

The DJIA added 134 points or 0.73% to close at 18,506.41, while the S&P surged by 0.53%, to  2,163.75. The Nasdaq Composite advanced 28 points or 0.57% to close at 5,034.06.  

DJIA technical view

“In the daily chart, the Dow holds near the mentioned close and well above its moving averages, while the Momentum indicator in the mentioned time frame is retreating modestly from overbought levels, rather reflecting the decreasing volume after the close than suggesting an upcoming downward move. In the same chart, the RSI indicator heads north around 70, in line with further gains,” said Valeria Bednarik, chief analyst at FXStreet. “Shorter term, the 4 hours chart shows that technical indicators lack directional strength, but that RSI remains around 80, whilst the 20 SMA keeps leading the way higher, rising alongside with price and providing a critical dynamic resistance in the case of intraday retracements.”  

Support levels: 18,469 18,390 18,322. Resistance levels: 18,560 18,605 18,660.