Index traded as low as -1.74%.

The NASDAQ index has recovered off it's lows which solve the price down as much as -1.74%. The index moved to an intraday high of -81.07 points or -0.61%. The currently trades down around -0.74% or -99 points.

Index traded as low as -1.74%.

Looking at the hourly chart, the move to the downside corrected about 38.2% of the run lower. The 38.2% retracement comes in at 13461.69. The high price yesterday reached 13485, before reversing lower into the close yesterday. The close yesterday that the price back below its 50 hour moving average (white MA in the chart above).

Today, the price gap lower reaching and intraday low of 13072.23. That was still above the lows from last week at 13002.54 and 13007.24. The falling 50 hour moving average is currently at 13302.71 and moving lower. Stay below that level keeps the bears more in control.

Overall, the inability to stay above the 38.2% retracement yesterday suggests the corrective move off the lows from last week was just a "plain vanilla" variety. If the price were to get back above its 50 hour moving average, the bias in the short term would shift a little higher. We will see.

On the downside, the 13000 level (lows at 13002 and 13007 last week), is the next key downside target. Move below that level and it opens the door for further downside momentum.

PS THe NASDAQ index is now down -113 points or -0.85% as the rally is stalling a bit....