Nasdaq Composites Technical Analysis | Forexlive

Yesterday, the Nasdaq Composite Index ended the day negative as the relief rally reached some key resistance levels. The first part of the week was rather empty in terms of data, and we did not have any speeches from the Fed due to the blackout period. This led to a relief rally which was exacerbated by weak US PMIs, with the market interpreting them as good news for inflation, although there were worrying comments from the labor market side. Starting today, we will have plenty of top-notch economic data as the new month comes with new reports.

Nasdaq Composite Technical Analysis – Daily Timeline

On the daily chart, we can see that the Nasdaq Composite found resistance near the 50.0% Fibonacci retracement level yesterday. If we get another push higher, sellers should step in around resistance at 15929 where they will also find the red 21 moving average for the confluence. Buyers, on the other hand, will want to see the price move higher to invalidate the bearish setup and increase bullish bets to a new all-time high.

Nasdaq Composite Technical Analysis – 4 Hour Timeframe

On the 4-hour chart, we can see that the price has been rejected from the 21 moving average over this time frame. Resistance 15929 will be key as it should tell us whether this is simply a pullback before another decline or the first move to a new all-time high.

Nasdaq Composite Technical Analysis – 1 Hour Timeframe

On the hourly chart we can see that we have minor support around the 15620 level where we can find the confluence of the 38.2% Fibonacci retracement level and the red moving average 21. This is where we can We expect buyers to step in to position for a break above 15929 resistance with a better risk/reward setup. Sellers, on the other hand, will want to see the price fall to increase bearish bets to new lows.

Events to come

Today we get first quarter US GDP and the latest US jobless claims numbers. Tomorrow we wrap up the week with the US PCE report.