Nasdaq keeps the bearish bias

The NASDAQ index is continue to trade with more of a bearish bias. The low price today reached 13414.14. Yesterday the index extended all the way down to 13094.65. That was the lowest level since May 19 (8 month low). The low yesterday stalled within a swing area between 13002.54 and 13220.16. Keep that level in mind going forward. A move below would have traders targeting the 38.2% retracement at 12552.36.

The sharp rebound off the low yesterday was a welcome development. However, the price rise did not get the pair out of the woods.

Swing highs and lows going back to February, April, June, July, October all came in near 14204.51 (see red numbered circles). Getting back above that level would be needed to give the buyers some comfort. The falling 100 hour moving averages still not in play at 14721.81. The 50 hour moving averages is getting closer at 14302.28 (and moving lower). Nevertheless with the price at 13436.13, it is still a ways away.

After the close Microsoft reports along with Texas Instruments. Tomorrow morning Boeing report before the open. After the close,Tesla, Intel, ServiceNow will all report. On Thursday after the close, Apple will report their earnings.