Market Levels: Happy New Year: (01/03/24)

Nasdaq Levels: 01/04/24

• When markets come under pressure, we refer to our list of economic, market health and trend indicators. This includes a basic observation of the chart in question. Like Yogi Berra once said, you can observe a lot just by watching.

• To start this year, the Nasdaq Composite index, as an observation of market risk appetite, is starting to look like a change of character is happening.

• Through the July to October 2023 decline, when the Negative Directional Movement Indicator (-DMI, red line bottom pane) crossed above the + DMI (green line), it was followed by more selling.

• Still, the first few days of the new year tend to be rocky. For example, the first session of 2021, on 1/4/21, was a 400-point range top to bottom but the week ended 700 points higher from the intraday low on 1/4.

• Credit markets remain solid and our PTI still positive. Day by day. 

• Our Chart of the Day is intended to be a standalone technical chart. 

• We use them to highlight open positions, stocks on our watch list, or indicators that we believe are important, or just interesting at the time. 

• It is not a directional market call. 

• Feel free to share them with others who may be interested.