Nasdak drowns 20 %, S&P 500 and Dow Jones stumbled with Trump’s tariff raises widespread correction-historical patterns indicate deeper losses in the future
Writing was on the wall, as shown clearly in our analysis in December 2024, entitled “Is the stock market in the United States running out of steam? Historical patterns of possible end signal?” At this stage, our analysis of investors warned that the main American indicators – NASDAQ 100, S&P 500 and Dow Jones – were approaching embarrassing reflection points after operating the bull market. NASDAC reached 100 peaks around 22010, S&P 500 in 6020, and Dow Jones at about 45050.
Fast forward until April 2025, and predictions appear in front of our eyes. The structural weaknesses that were first noticed in February 2025 have now been deepened to a major shrinkage in the market, and were exacerbated by geopolitical disturbances from the “Trump Liberation Day” tariff. These definitions were not only unstable for global trade, but rather as the final catalyst that leads to the sale of panic through stock markets.
December 2024 Analysis title
Nasdak 100 enters the market of the bear
NASDAC 100, usually sensitive to transformations in risk morale, has now decreased dramatically in the Labb School Books Market, decreased by 20 % of its highest level ever. At the time of this report, the index is traded near the decisive support in 17285, which represents the second stage of the expected main decline. The sale is intensified sharply in two past two trading sessions, holding more than 5 % amid intense concerns of long trade tensions.
Technical analysis indicates that if the Nasdaq Stock Exchange loses the level of immediate support in 17444, it opens the door for more declines about 16,836. That is, short -term recovery attempts face great resistance in 18205 and then again in the critical axis near 18440.
Nasdaq 100 December 2024 Analysis
Nasdaq 100 April 4th 2025 Analysis
S&P depth correction, and critical levels are approaching
The S&P 500 (SPX) reflected NASDAC, as it suffers from severe losses and more than 16 % of its standard levels decreased. In the last two days alone, SPX decreased by 6 %, confirming the panic in the market. Currently, the index test an important technical area at 5151 – the second phase of its corrective cycle specified in December analysis.
If the pressure pressure persists is less than 5151, investors may be able to see accelerating declines towards subsequent support levels at 5030 and 4955. The possible third phase of this correction in the market will lead to a low price level, which limits the level of decisive support in 4834.
US 500 December 2024 Analysis
US500 April 4th 2025 Analysis
Dow Jones face China’s revenge
The industrial average (DJIA), which was previously considered a haven for stability, is bleeding. DJIA decreased by about 1450 points on two sessions, which represents a decrease of more than 14 % of its highest historical levels. China’s rapid revenge definitions against Trump’s policies increased the pressure pressure, pushing Dow Jones sharply.
Currently trading in decisive support in the second stage of 38982, the additional negative side appears to be increasingly possible. If the index fails to keep this level, subsequent support levels will be found in 38508, especially 37743. A deeper correction scenario in the third stage shown in our analysis targeting critical psychological and technical support in 36504. Any varying reflection attempt facing great resistance in 39747, and more importantly, at 40230.
Dow Jones Analysis of December 2024
Dow Jones 4 April 2025 Analysis
The basic incentives that feed the sale
The last sales process was not only a technical phenomenon, it also reflects important basic transformations:
- A tariff on Trump’s liberation: These protectionist policies, initially targeting Canada and Mexico, expanded a wider trade war with China, which disrupts the very world trade dynamics and investor confidence.
- Determination of economic expectations: High geopolitical tensions along with high inflation and interest rates from the Federal Reserve have deteriorated.
- Corporate profits concerns: With the definitions that affect supply and profitable chains, investors now expect the weakest corporate profits guidelines, adding a decrease in the market.
Historical patterns provide evidence of the next
Historical patterns, as it is widely detailed in our analysis in December 2024, indicates that the sale is usually accelerated as soon as the markets enter the correction phase before reaching a sustainable bottom. Investors must restore the increasing fluctuations and more negative risks in order to show more clear stability signs, probably in the coming months or even in general.
In summary and fast food for the investor
Continuous market disturbances are a timely remarkable reminder of the predictive strength of historical courses and comprehensive technical analysis. Investors should exercise caution and stay awake for the critical levels that are highlighted in this analysis. While a rebound may occur in the short term, the broader direction clearly indicates continuous declining pressure.
As the markets move to this turbulent water, the wise wallet will be wisely, the management of accurate risks, and the accurate monitoring of technical and basic indicators is very important. I will continue to make time updates to direct investors through these unprecedented developments in the market.
