US stocks trading mixed in early trading

The major US stock indices are trading mixed with the Dow Industrial Average trading higher. The S&P near unchanged and the NASDAQ index down once again. Major indices are tracking for their worst weeks since October. That’s not hard given the nine week win streak coming into the new trading year.

A snapshot of the market 7-minutes into the open shows:

  • Dow Industrial Average at 75 points or 0.20% at 37505
  • S&P index up 0.73 points or 0.01% at 4706
  • Nasdaq index -44 points or -0.30% at 14548.93

The small-cap Russell 2000 is trading up 3.76 points or 0.19% at 1963 after tumbling 2.6% yesterday.

Technically, the Nasdaq index has opened below its 200-hour moving average (green line in the chart below) at 14587.04. The break below that level is the first time the price has traded below the moving average since November 1. Earlier this week the price get below its 100-hour moving average currently at 14897.05.

Staying below the 200-hour MA now, keeps the bears more in control in the short/medium term. The next key target comes against the 38.2% retracement of the move up from the October 26 low. That level comes in at 14156.40 (see hourly chart below).

This article was written by Greg Michalowski at www.forexlive.com. Source