New lows for the Nasdaq. Apple looks toward 2022 lows for the year | Forexlive
The NASDAQ index is working on its fourth straight day to the downside. The high price on December 13 reached 11571.64. The low price just reached 10560.55. That’s a decline of -8.77% from the high five days ago. The index is working on its fourth consecutive down day.
On December 13 (the CPI day in the US), the price extended above its 100 day moving average (blue line in the chart above), but could not sustain momentum. As a result, buyers turn to sellers and the price has been trending down ever since.
The FOMC raising the terminal rate did not help matters on Wednesday, and selling continued on Thursday and Friday and into today
The NASDAQ index is now within 4.6% of the low price reached on October 13. For the year, the NASDAQ is down around -32.4%.
Take a look at other big tech stocks shares Apple are also feeling the pressure. It’s shares are down -12% from last week’s high, and moving closer to the June 16 low down at $129.05. The low price today reached $131.43.
For the year, the price is down around -25.7%.
However, that decline comes after a sharp rally off of the June low which saw the price get within around $1.13 of the closing level from December 31, 2021 at $177.25. The high price reached on August 16 extended to $176.12 before restarting the run to the downside.
Google shares are fairing worse than Apple this year with a decline of -37.3% in 2022. It’s low for the year was reached on November 3 at $82.98. The current price is trading at $89.64 after the price rebounded to a December 1 high price of $102.11. That high price stall just ahead of the 50% midpoint of the move down from the August high at $102.88. The inability to get above that target and the falling 100 day MA as well (blue line in the chart below), turned buyers to sellers technically.
For another big cap technical Microsoft, it reached its high for the year on the first trading day of the year at $338. The current price is trading at $240.10. That’s down -28.67%. Although sharply lower, the price is comfortably above its low for the year from November 4 at $213.43.
Technically, looking at the daily chart below, the high corrective price from August 15 stalled against its 200 day moving average (green line in the chart below).
Fast-forward to the high price reached just last week, the price once again stalled against its 200 day moving average (green line currently at $262.75).
Needless to say that 200 day moving average is increasingly more important as we head toward the new trading year. It would take a move above that 200 day moving average (currently at $262.75) to increase the bullish bias in the shares of Microsoft. Absent that, and the sellers are still more in control.