Thursday June 6th, 2013 – Comments on the NASDAQ 100
A Look at the Market Since Our Last Update: The overall market moved sharply lower yesterday in a broad based move that affected the entire stock market. The Dow Jones Industrial Average was lower by over 200 points, while the S&P 500 was down by over 22 points and the NASDAQ 100 was lower by over 36 points. In the commodities markets Oil was higher by $0.43 to $93.74 per barrel, and Gold was higher by $1.30 to $1,398.80 per ounce. In the grain markets, Wheat was lower by $0.074 to $7.014 per bushel, and Corn was higher by $0.002 to $6.606 per bushel, and Soybeans were higher by $0.032 to $15.322 per bushel.
A Few Thoughts on the Upcoming Market: In looking at the charts from yesterday’s trading activity, it appears that the market has entered a pullback phase, with at least a short term top being formed in mid-May. It should be noted that with yesterday’s close of 2,937.14 the NASDAQ 100 Index ‘NDX’ broke through a previous level of support at 2,944.59 We see the next level of support on the NASDAQ 100 at 2,911.14 on a closing basis, and feel that there is a good shot it will continue lower and test 2,859.07 on a closing basis. With respects to the overall stock market we would not be surprised if it moved back to its February levels.
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