Yesterday at a glance: the Nasdaq retained its composure around the 11,000 level after dropping 2%.
United States Crude Oil Inventories data will be released today at 15:30 UTC, with an expected improvement to -3.31 million. the Nasdaq reaction to indicator information will follow.
Meanwhile, United States Unit Labor Costs (QoQ) (Q3) came out at 2.4, while a consensus of analysts was expecting 3.1. United States Nonfarm Productivity (QoQ) (Q3) released today at 13:30 UTC with a figure of 0.8, while the previous figure was 0.3. United States API Weekly Crude Oil Stock came out at -6.43 million, while a consensus of analysts was expecting -3.88 million.
Bollinger Bands® shows an indication of recovery: the lower band is at 10,700, a low enough level to, generally, suggest that Nasdaq is trading below its fair value. The Nasdaq could begin to recover as it approaches significant support, now 114.64 points away from 10,900. Dipping below could be an indication that further losses are ahead. On the other hand, note that the Nasdaq made an initial break below its 21 day Simple Moving Average at 11,100, a possible indication of a forthcoming negative trend. Price action remains constrained around the key Fibonacci level of 10,974 currently serving as support. If price action breaks below, the next Fib hurdle is 10,856.
Technical analysis indicates that the Nasdaq's current downtrend might soon change course and start climbing up in the short term.
In the meantime, negative performances are also seen in other markets, Hang Seng drops 3.22% yesterday and closed at 19,441. S&P 500 lost 1.44% yesterday and closed at 3,999. After ending yesterday's session at 33,947, Dow Jones lost 347.1 points and is trading around 33,600.
With markets struggling for positive sentiment, upcoming macro data could potentially attract buyers in the market as United States Initial Jobless Claims projected to come out at 230,000 — worse than previous data of 225,000; data will be released tomorrow at 13:30 UTC.
Some optimism can drawn from the fact that United States Crude Oil Inventories is projected to outperform its last figure with -3.31 million. It previously stood at -12.58 million; data will be released today at 15:30 UTC.
The index has been trending positively for about a month. Having set a significant high of 15,871 a month ago, the Nasdaq is trading 8.9% lower.