Market Analysis Summary - February 20, 2026

Key Highlights

• U.S. stock index futures are slightly higher as traders await critical economic data.
• The S&P 500 is attempting to maintain its weekly gains while facing resistance levels.
• The Nasdaq Composite needs to overcome significant resistance to shift momentum.
• Investors are closely monitoring a Supreme Court ruling that may impact tariff policies.

Market Overview

The major U.S. stock index futures are showing slight improvements ahead of the cash market opening. This reflects a cautious sentiment among traders as they await the release of the Gross Domestic Product (GDP) report and the Personal Consumption Expenditures (PCE) price index, both of which could influence Federal Reserve policy. Additionally, a Supreme Court decision regarding the legality of tariffs imposed by former President Trump is also on the radar of investors.

Technical Analysis

S&P 500 Index (SPX)

The S&P 500 is currently in a downtrend, with key resistance levels identified between 6888.89 and 6915.65. The index recently faced resistance at 6909.12, indicating a struggle to maintain upward momentum. The short-term range is between 7002.28 and 6775.50, with the current support level slightly above the retracement zone at 6762.10 to 6705.42. A sustained move below the resistance cluster could signal increased selling pressure.

Nasdaq Composite Index (IXIC)

The Nasdaq Composite is also in a downtrend, with a need to clear resistance levels at 23307.57, 23320.62, and 23326.83 to shift momentum positively. A trade above 22895.95 would indicate a potential upside, while support is found at 22256.76. If this support fails, the index may test the 200-day moving average at 21853.38.

Dow Jones Industrial Average

The Dow Jones is slightly lower for the week but remains in an uptrend. The 50-day moving average is a critical level to watch, with potential targets at 50372.00 and the all-time high of 50512.79. A break below the moving average could lead to tests of previous bottoms at 48459.88 and 48428.13.

Conclusion

As the markets brace for pivotal economic data and a significant Supreme Court ruling, traders are advised to monitor key resistance and support levels across major indices. The outcomes of these events could have substantial implications for market direction in the near term.