NASDAQ 100: Heading For Bear Market Territory?

Fed a giant check on Wednesday

It’s been a wild journey up to now this 12 months and there should still be a lot extra to return. The has smashed by key assist ranges on an nearly weekly foundation and now sits round 15% off its highs, due to a outstanding rebound on Monday.

The index trended decrease as soon as extra yesterday, however remained above yesterday’s lows which could possibly be a promising sign. Turnarounds like yesterday don’t occur fairly often and the facility of the rebound could possibly be considered as an encouraging sign.

In fact, we’re witnessing markets the place worry is dominating and that could possibly be ramped up over the subsequent 48 hours relying on how the and large tech earnings carry out.

If the NASDAQ 100 continues to slip, the momentum indicators may provide perception into whether or not Tuesday’s rebound slowed the sell-off, with some main ranges lurking under.

The 20% correction mark—which technically leaves the index in bear market territory—falls round 13,416, so we may see assist seem round right here, even perhaps a bit greater given the potential psychological affect round 13,500.

Beneath right here, the 38.2% Fibonacci retracement stage, which covers the pandemic lows to highs, falls round 13,000 which is able to make {that a} main check.

Whether or not we get that far is difficult to say, however what we’ve seen up to now this week suggests there could also be a lot extra to return.

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