Nasdaq Faces Temporary Bearish Pressure 7/11/2023

In recent trading sessions, the Nasdaq index has experienced mixed movements, reaching its peak around 15180 but failing to breach this level, currently hovering near 15,130.

Examining the technical indicators, the Stochastic indicator lingers in overbought territories, while the Relative Strength Index exhibits temporary negative signals on the 60-minute timeframe. These factors suggest a potential temporary bearish trend in the hours ahead, with the initial target set at 15,065. It’s worth noting that this target is chosen due to the heightened risk associated with the current market conditions.

However, if the index stabilises above 15185, the proposed bearish scenario could be invalidated. In such a case, the Nasdaq might regain strength, setting sights on targets beginning at 15,245.

Traders should exercise caution as the market remains highly volatile and uncertain, primarily driven by ongoing geopolitical tensions, amplifying the overall risk level.

Note: Trading on CFDs involves risks. Therefore, all scenarios may be possible. This article is not a recommendation to buy or sell but rather an explanatory reading of the price movement on the chart.

S1: 15065	R1: 15185
S2: 15000	R2: 15245
S3: 14950	R3: 15310