11, October 2016

Nasdaq(a 4-hour chart)

General overview

Wall Street opened higher on Monday fallowing the results of the second presidential debate. Moreover, oil prices growth supported energy stocks and boosted investor appetite for riskier assets.

Current situation

 After a quite mode during the Asian hours on Monday the index rallied in the European session and was able to refresh the historical high at the start of the NY session. Buyers were able to push the price higher from the level 4865 towards 4900. The 50, 100 and 200 EMAs maintained their bullish slope in the 4 hours chart. The moving averages accelerated their growth.  The resistance is seen at 4900, the support is at 4865.

 The MACD histogram grew which indicates the buyers’ strength. RSI approached the overbought levels.

Trading recommendations

The overall outlook remains bullish, for a rise towards 4940 resistance area. A close below 4865 will trigger losses towards 4835.