October 24, 2024 at 07:30PM
The NASDAQ index is trading near session highs as trades look to retest its 50-hour moving average currently at 18418.93. The price has reached 18413.38 so far. The index is probably up 125 points or 0.68%.
Yesterday, the price fell below the 50-hour moving average (orange line) and the 100-hour moving average (blue line), but could not stretch toward the rising 200-hour moving average currently at 18139.00 (green line on the chart above).
The gap higher today took the price above the 100-hour moving average at the open, and apart from a brief below that moving average midday, the price has remained in between the 50 and 100-hour moving average levels.
Traders will look for the next shove/bias-defining move. Extending above the 50-hour moving average would disappoint the sellers and likely lead to more upside probing (short covering).
Conversely, breaking back below the 100-hour moving average – and staying below – and the sellers will gain more confidence for another run toward the rising 200-hour moving average at 18138.94. The price has not traded below its 200 hour moving average since September 11.
This article was written by Greg Michalowski at www.forexlive.com.
