The NASDAQ index as moved up 104.79 points at session highs today, but has backed off a little bit and currently trades up 72 points or 0.56% at 13577.33. The S&P index is up around 5 points or 0.11%. The Dow Industrial Average is still negative at -53 points.
The major indices have been down for 3 consecutive days, coming off the boil that took the prices of the major indices up for multiple weeks in a row. The S&P has been up for 5 consecutive weeks. The NASDAQ index has been up for 8 consecutive weeks. Those indices are now down this week. It was needed.
Looking at the NASDAQ hourly chart above, the corrective move lower, has taken the price down toward its rising 100-hour moving average. That moving average currently comes in at 13415.84. The low price for the day came in at 13441.56.
The price of the NASDAQ has been above the 100-hour moving average since May 4. Sniffing that moving average today - and finding support buyers - is positive technically. Conversely, going forward it will take a move below that moving average to give the sellers more confidence.
For now, the buyers are still more in control although the markets are still a bit nervous.
