We’re a “NAS” at this time and, no, it’s not the rap icon one who returned to the Grammy’s this 12 months.
I’m speaking in regards to the U.S. composite index NASDAQ, yo!
Try what’s occurring on the each day chart:
NASDAQ Every day Chart
You most likely must squish your each day charts a bit but it surely’s straightforward to see that the U.S. composite index NASDAQ has been on a gradual(ish) uptrend since recovering from its 2020 lows.
Heck, the index has been buying and selling above the 100 SMA since late April 2020!
2022 hasn’t been a great 12 months for the index, although, because it had pulled again fairly a bit since hitting the 16,000 ranges.
Information of Elon Musk shopping for sufficient $TWTR shares to develop into its largest single shareholder helped increase loads of U.S. equities that additionally benefited from a risk-taking temper yesterday.
However can they maintain the bullish momentum this week?
NASDAQ isn’t solely buying and selling beneath the 100 and 200 SMAs, however Stochastic can be signaling an “overbought” sign simply because the index reached its February and March highs.
Not a great search for the index particularly for the reason that 100 SMA has additionally crossed beneath the 200 SMA. FYI, the final crossover was in Might 2019.
I’ll be looking out for bearish information that might solidify 14,500 and the SMAs as a resistance zone this week.
For one factor, the Fed’s assembly minutes might reveal a tightening schedule that might spook risk-takers. Broader and longer lockdowns resulting from bigger-than-expected COVID outbreaks in China additionally received’t assist risk-taking within the markets. Final however not least, talks of sanctions on Russia’s oil and gasoline provides might spark extra issues about world financial progress.
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