Current trend

One of the leading US indexes NQ 100 demonstrates correctional dynamics in the area of 17900.0 against the background of more positive than expected report of the component companies. 

Technological giant Apple Inc. recorded revenue in the amount of 90.80 billion dollars, which exceeds 90.32 billion dollars predicted by analysts, but inferior to 94.8 billion dollars in the same period a year earlier. Earnings per share rose to 1.53 dollars from 1.52 dollars previously, with a forecast of 1.50 dollars.

Tomorrow, financial results will be published by The Walt Disney Co. media corporation. According to analysts, the company's revenue can amount to 22.12 billion dollars, and earnings per share to 1.10 dollars, increasing from 21.82 billion dollars and 0.93 dollars, respectively.

In the domestic bond market, 10-year bonds are traded at a rate of 4.503%, which is seconded to 4.657% shown last week, and the yield of 20-year bonds is 4.752% after 4.892% a week earlier.

The growth leaders in the index are Amgen Inc. ( 11.84%), MercadoLibre Inc. ( 8.27%), Apple Inc. ( 5.97%), Constellation Energy Corp. ( 4.66%).

Among the leaders of the decline are Fortinet Inc. (-9.69%), Starbucks Corp. (-2.43%), PayPal Holdings Inc. (-1.91%).

Support and resistance

On the daily chart, the index quotes are adjusted, again approaching the support line of the ascending channel 18500.0–17800.0.

Technical indicators are holding a sell signal, which is slowing down: fast EMAs on the Alligator indicator are approaching the signal line, and the AO oscillator histogram is forming new corrective bars increasing in the sell zone.

Support levels: 17740.0, 17200.0.

Resistance levels: 18050.0, 18480.0.

Trading tips

If the asset continues growing and consolidates above 18050.0, long positions with the target at 18480.0 will be relevant. Stop-loss — 17900.0. Implementation time: 7 days and more.

If the asset continues declining and the price consolidates below 17740.0, short positions can be opened with the target at 17200.0. Stop-loss — 17900.0.