Nasdaq 100 - American stock market is preparing for a reversal
One of the leading US indexes Nasdaq 100 shows corrective dynamics, being at around 12500.0, reversing downwards amid disappointing financial results of large companies. The situation cannot be changed even by the strengthening of the positions of the American currency, supported by data on an increase in the Nonfarm Payrolls by 517.0 thousand jobs with an expected growth of only 190.0 thousand.
The largest online retailer Amazon.com Inc. reported close-to-loss quarterly earnings per share of just 0.03 dollars, worse than the 0.17 dollars forecast. At the same time, the company increased its revenue from 127.1 billion dollars to 149.2 billion dollars. Technology giant Apple Inc. posted earnings per share of 1.88 dollars, lower than the expected 1.94 dollars, and revenue of 117.2 billion dollars versus a forecast of 121.88 billion dollars. In turn, Alphabet Inc. reported revenue of 76.05 billion dollars versus a forecast of 76.07 billion dollars and earnings per share of 1.05 dollars, down from the previous quarter’s figure of 1.06 dollars.
On the daily chart, the index quotes are correcting as part of the global Expanding Formation pattern, approaching the resistance line. Technical indicators are holding a buy signal, which is about to start weakening.
Support levels: 12200, 11400 | Resistance levels: 12800, 13600