Though in the midst of a 4 day uptrend, gaining a total of 4.35%, (498.62 points), The prevailing bullish trend is beginning to fade following Friday's downbeat session. The Nasdaq dipped as low as 11,300 before recovering some lost ground. However, the rebound failed to push the stock to where it started the session (11,300) with the Nasdaq closing the day at 11,461.
Nasdaq made an initial break below its 3 day Simple Moving Average at 11,300, a possible indication of a forthcoming negative trend. The Nasdaq's upper Bollinger Band® is at 11,734 which indicates a further downward move may follow. Despite this, the Nasdaq could begin to recover as it approaches significant support, now 240.25 points away from 11,221. Dipping below could be an indication that further losses are ahead.
Following today's unexpected losses, extensive multifactorial technical analysis forecasts the Nasdaq to buck against its prevailing uptrend and begin to dip lower in the short term. With all probabilities considered, the the Nasdaq is expected to attract significant bearish sentiment in the coming days.
In the meantime, negative performances are also seen in other markets, KOSPI Composite Index lost 1.84% Friday and closed at 2,480. After ending Friday's session at 28,226, Nikkei lost 448.18 points and is trading around 27,778.
Furthermore, United States ISM Non-Manufacturing PMI (Nov) is scheduled for tomorrow at 15:00 UTC.
The index has been trending positively for about 29 days. The Nasdaq is now trading 11.25% above the significant low (10,321) it slumped to a month ago.