The major US stock indices took a turn back to the downside and are closing the day near session lows
- Dow Industrial Average is down -260.42 points or -0.77% at 33717.69
- S&P index is down -52.68 points or -1.29% at 4017.89
- NASDAQ index is down -227.89 points or -1.96% at 11393.82
For the NASDAQ index, the price is closing back below its 200 day moving average at 11497.21. Closing below that level takes some of the bullishness back out of the market. The price closed above its 200 day moving average for the first time since January 13, 2022 last week. Moving back below the moving average level is a disappointment for the buyers.
Looking at the S&P on a daily chart, its high price on Friday stalled just ahead of the 4100 level that stalled the rally on December 1 and again on December 13. The high price reached 4094.21 on Friday just six or so points away from that key target. That too is a disappointment from a technical perspective.
Today’s high could only get to 4063.85, well short of that key upside target. The good news for the S&P is it still remains comfortably above its 200 day moving average of 3955.85. However, that level would be a target that if broken going forward would increase the bearish bias.