NASDAQ Composite (.IXIC) still remains in a bear market
The Nasdaq Composite Index COMP, +1.71% on Tuesday closed sharply higher, putting the technology and internet-related gauge to a finish above its short-term average for the first time since early October. The Nasdaq booked a 1.7% gain to end at 7,023.83.
That places the index above its 50-day moving average at 6,996.25, for the first time since Oct. 3, according to FactSet data. Market technicians watch moving averages to help assess bullish and bearish momentum in an asset. To be sure, the Nasdaq still remains in a bear market, after dropping by at least 20% from its recent peak. The Nasdaq stands about 13% below its Aug. 29 high at 8,109.69. Meanwhile, the Dow Jones Industrial Average DJIA, +0.65% and the S&P 500 index SPX, +1.07% also closed higher.
The projected upper bound is: 7,410.33.
The projected lower bound is: 6,626.06.
The projected closing price is: 7,018.19.
A white body occurred (because prices closed higher than they opened).
During the past 10 bars, there have been 8 white candles and 2 black candles for a net of 6 white candles. During the past 50 bars, there have been 24 white candles and 26 black candles for a net of 2 black candles.
Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 81.9324. This is an overbought reading. However, a signal is not generated until the Oscillator crosses below 80 The last signal was a sell 8 period(s) ago.
Relative Strength Index (RSI)
The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 56.41. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a buy 13 period(s) ago.
Commodity Channel Index (CCI)
The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is 94. This is not a topping or bottoming area. The last signal was a sell 1 period(s) ago.
The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a buy 9 period(s) ago.
Rex Takasugi – TD Profile
NASDAQ COMPOSITE closed up 117.919 at 7,023.834. Volume was 21% below average (neutral) and Bollinger Bands were 26% wider than normal.
Open High Low Close Volume___
Short Term: Overbought
Intermediate Term: Bullish
Long Term: Bearish
Moving Averages: 10-period 50-period 200-period
Close: 6,843.31 6,997.25 7,449.32
Volatility: 34 36 25
Volume: 575,513,472 628,965,440 555,952,064
Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.
NASDAQ COMPOSITE is currently 5.7% below its 200-period moving average and is in an upward trend. Volatility is high as compared to the average volatility over the last 10 periods. Our volume indicators reflect volume flowing into and out of .IXIC at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bullish on .IXIC and have had this outlook for the last 4 periods.