Wall Street Sell-Off Continues, NASDAQ 100 Bearish in Short Term
Wall Street’s Main Indexes Closed Lower on Wednesday
Investors continued to stress concerning higher U.S. Treasury yields
NASDAQ ended down 10.7% from its Nov, 19th closing record high
The Nasdaq’s closing correction become in early 2021, as soon as the tech-heavy index fell pretty 10% from Feb. twelve to March 8. it were the fourth time inside the 2 years for the reason that coronavirus pandemic cask international markets that the index has observed itself at some stage in a correction.
On Wednesday, Apple stocks (NASDAQ: AAPL) fell 2.1%, deliberation maximum at the Nasdaq, while declines in Tesla (NASDAQ: TSLA) and Amazon (NASDAQ: AMZN) conjointly dragged at the index.
Stocks are becoming off to a rocky starting in 2022, as a short upward thrust in Treasury yields amid troubles the Fed can emerge as competitive in dominant inflation has notably hit the technical faculty and boom stocks. The benchmark S&P 5 hundred is down 5% thus far this year.
The inventory marketplace index Industrial Average fell 339.eighty two points, or 0.96%, to 35,028.65, the S&P 500 misplaced 44.35 points, or 0.97%, to four,532.76, and consequently the facts gadget Composite born 166.sixty four points, or 1.15%, to 14,340.26.
client discretionary fell maximum amongst S&P 5 hundred sectors, losing 1.8%, while financials dropped via way of means of 1.7% and generation softened 1.four%.
Next Week Fed Policy Meeting
Investors are looking to subsequent week’s Fed coverage assembly for extra readability on valuable bankers’ plans to rein in inflation. records closing week confirmed U.S. client fees inflated solidly in December, culminating inside the most important annual upward thrust in inflation in almost 4 decades.
The S&P 5 hundred denote 13 new 52-week highs and seven new lows; the Nasdaq Composite recorded twenty-3 new highs and 630 new lows.
regarding 11.four billion stocks changed arms in U.S. exchanges, in comparison with the ten billion day by day common during the last twenty sessions.
NASDAQ 100 – Technical Analysis
$NAS100 still trading below resistance trendline and 50, 100, and 200 moving averages which indicates a bearish bias for NAS100. NAS100 could continue going down to the $14600 level as a strong support area.
WHAT ZFX THINKS…
NAS100 in the long-term perspective is still bullish, we might see a good bounce or bullish momentum in the next few months. $14400, for now, should hold or maintain as support for NAS100 to continue bullish in a technical point of view. This January drop indeed makes people scared to invest in NAS100. But, fundamentally the constituent under NAS100 is still in a very bullish trend. Timeframe or durations of your trading plan plays a big role in NAS100.
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