NASDAQ index has given up gains and trades down on the day

Technical Analysis

Some profit-taking in the Big 5 stocks ahead of earnings starting today

As mentioned earlier, the Big 5 stocks (Alphabet, Microsoft, Facebook, Amazon, and Apple) will all release their earnings over the next 3 days starting with Alphabet after the close today.  All 5 indices trade on the NASDAQ exchange as well.  

That index is now turned negative after trading higher earlier in the session. The high price reached 8830.57. The low just extended to 8688.285. We currently trade at 8717. 

Not surprising all but Apple is now trading negative on the day.  Adding to the decline is Netflix (another Nasdaq stock) which is leading the way lower of the big names at -3.13%.

Technically, looking at the daily chart of the NASDAQ index below, the price yesterday gapped above its 100 day moving average (blue line in the chart below) currently at 8675.46.  That was the first move above the 100 day moving average since March 5.

The low price today did get close that level at 8688.286, but found early buyers (or so it seems).  A break back below the 100 day moving average would be more bearish technically.   Stay above and the suggest a correction and retest of the broken moving average.

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