NASDAQ might be headed for a short term down movement. The below the expectations Service PMI, combined with the low Manufacturing PMI from last week still suggest that the growth of US economy is slowing.
The uncertainty about the economic outlook ahead of next week’s Fed meeting is also pulling the investors out of the market.
On the technical side, the graph had formed a Block Bearish pattern, which further indicates a possible short-term reversal of the current trend. Of course, this might all change depending on the Fed decision after the meeting next week.
If the bearish scenario occurs, the instrument might reach targets of 14502 and after that 14416. In the opposite scenario, if the instrument start rallying, it might test the resistance at 14684.
Risk Disclosure: Trading Foreign Exchange (Forex) and Contracts of Difference (CFD's) carries a high level of risk. By registering and signing up, any client affirms their understanding of their own personal accountability for all transactions performed within their account and recognizes the risks associated with trading on such markets and on such sites. Furthermore, one understands that the company carries zero influence over transactions, markets, and trading signals, therefore, cannot be held liable nor guarantee any profits or losses.
The uncertainty about the economic outlook ahead of next week’s Fed meeting is also pulling the investors out of the market.
On the technical side, the graph had formed a Block Bearish pattern, which further indicates a possible short-term reversal of the current trend. Of course, this might all change depending on the Fed decision after the meeting next week.
If the bearish scenario occurs, the instrument might reach targets of 14502 and after that 14416. In the opposite scenario, if the instrument start rallying, it might test the resistance at 14684.
Risk Disclosure: Trading Foreign Exchange (Forex) and Contracts of Difference (CFD's) carries a high level of risk. By registering and signing up, any client affirms their understanding of their own personal accountability for all transactions performed within their account and recognizes the risks associated with trading on such markets and on such sites. Furthermore, one understands that the company carries zero influence over transactions, markets, and trading signals, therefore, cannot be held liable nor guarantee any profits or losses.