Nasdaq stays in the bearish jail

Technical Analysis

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Stays below the 100 day MA

The Nasdaq index had the price fall below is 100 day moving average near 12626.  Yesterday the price fell below the moving average line as well, but rebounded and close above the level.

  

Looking at the price action today, the pair once again fell below the level and traded to a new low for 2021. The index is currently making new session lows as I type at 12434.52. 

The catalyst for the move further to the downside can be seen on the hourly chart below. The corrective high off of the initial low found sellers against the 100 day moving average (see chart below). The high on the current hourly car reached 12621.38.

Staying below the 100 day moving average on the corrective move higher keeps the sellers firmly in control. If the price can close below the 100 day moving average would be the first close since April 2020.

If the buyers are to take more control technically, it is imperative to get back above the 100 day moving average. Failure to do that and they sellers are many control.

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