USNAS100 / Rethinking Recession Risks and AI

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Nasdaq Technical Analysis and Market Outlook: Recession Risks and AI Concerns


The Nasdaq index experienced a significant decline, falling from its strong resistance level of 19,625, as we noted yesterday, and plummeting by approximately 5.20%.

Outlook:
For the Nasdaq to sustain its bearish trajectory, it needs to stabilize below the demand zone, which lies between 18,640 and 18,430.

• Bullish Scenario:
  If a 4-hour candle closes above 18,640, the price could advance to 18,930 and 19,100.
  
  
• Bearish Scenario:
  As long as the price remains below 18,640, it is likely to drop to 18,435. A break below 18,435 could see further declines to 18,150 and 17,880.
  
  
• Key Levels:
  - Pivot Line: 18,640
  - Resistance Levels: 18,750, 18,935, 19,100
  - Support Levels: 18,435, 18,150, 17,880
  
  
• Expected Range for Today:
  The price is anticipated to fluctuate between the support at 18,150 and the resistance at 18,750.
  
  Today's Non-Farm Payroll (NFP) and Unemployment Rate reports are expected to significantly impact the market.
  
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  Market Overview: Rethinking Recession Risks and AI
  
  Global markets are jittery, reassessing recession risks and reacting to the performance of Big Tech. As August unfolds, concerns over a 'hard landing' for the global economy resurface, especially as central banks relax policies and bond yields decline.
  
  The trading landscape has been turbulent across financial markets. Despite the much-discussed rotation within stock sectors, the most notable shift is from stocks to bonds as the fear of recession re-emerges.
  
  previous idea: