14, July 2016

Nasdaq (a 4-hour chart)

Nasdaq (a 4-hour chart)

General overview

The Bonds Market in the USA snapped the intraday highs on the trades opening on Wednesday. However, the growth was short-lived and the price corrected downwards as investors took a pause after a 3 day rally. The Nasdaq moved into the positive territory this year.

Current situation

The price is in a consolidation after a one week rally. The index is above the support 4550. The index quotes are in the narrow range 4560 – 4585. The resistance is at 4600, the support is seen at 4550.

The MACD histogram is in the positive area. Its histogram decreased which indicates the buyers’ positions weakening. RSI came out from the overbought area and moved downwards that also supports sellers.

The 50-EMA crossed the 100 and 200 EMAs upwards which indicated the buyers’ strength.

Trading recommendations

We expect the index NASDAQ to continue a consolidation at the current levels. We do not exclude a slight decrease towards 4550 and 4500.