Nasdaq 100, Apple.
The Nasdaq 100 ultimately had a very bad day on Friday, but many large-cap favorites helped pull the market lower. Analysts point to a lack of interest rate cuts and the Middle East as reasons for this, but it is, to say the least, premature for the index to correct some of its recent strong gains.
After breaking off from its lows in late October 2023, the Nasdaq 100 looked nearly unstoppable until late March of this year, after which it began to calm down. This week’s selloff has pushed the index below its 50-day moving average for the first time since November 2023.
The daily price chart of the Nasdaq 100 looks like this:
Nasdaq 100 daily chart, 4 20 24.
You can see that the price ended below the 50-day moving average, which was trending upwards, for 5 consecutive days. The early January low of around 16,250 could be the target for this drop. This is the previous support level where buyers outperformed sellers. The 200-day moving average is trending upward, but how long will it continue?
Apple’s main components
AAPL
Apple daily price chart, 4 20 24.
The stock peaked at over $198 in December and is currently trading at $165, down 16.67% in five months. The 50-day moving average fell below the 200-day moving average in mid-March and on Friday, pushing prices below the late October lows. Note that for all of the past 5 days, the red bar has gone down, indicating a sell.
Here is Meta’s daily price chart:
Metaplatform daily price chart, 4 20 24.
The Nasdaq 100 component fell below its 50-day moving average and closed there for the first time in months. The price has fallen below the low in early April, but what will happen next? The first and most obvious target is the huge gap-up zone from $450 to $400. The 200-day moving average is $368 and trending upward.
Nvidia
NVDA
diamond
The daily price chart looks like this:
NVDIA daily price chart, 4 20 24.
Yet another popular index is showing a close below the 50-day moving average, which is trending up on good volume. If the sell-off continues, the mid-February gap between $650 and $750 could become a target. The 200-day moving average is trending upward without any problems.
This is Tesla
TSLA
Tesla daily price chart, 4 20 24.
This week, the stock broke through the mid-March support level and continued its decline. This means that 6 red bars have been sold in a row. The chart peaked at $280 in September, and Tesla is currently at $147, down 47% from then to now. Both the 50-day moving average and the 200-day moving average are trending down.
For detailed price chart analysis and commentary, please visit johnnavin.substack.com.
