(News Bulletin 247) – If the Nasdaq Composite index (+1.76 to 11,512 points) benefited on Thursday from the relief caused by the results of Tesla (+10.97% to $160.27), and a battery satisfactory statistical figures, the pre-opening suggests a breather for the last session of the week, marked by the publication of the dynamics of PCE consumer prices.
The innovative automaker may have disappointed expectations on its fourth-quarter results on margins, but Elon Musk’s comments to analysts appear to have pleased the market. According to comments reported by Bloomberg, the businessman indicated that the group’s forecast for production of 1.8 million vehicles in 2023 was “cautious” and that the manufacturer could very well be closer to 2 million, without major disruption. He also tried to send reassuring signals on demand, a reason for chronic concern in the market.
In the immediate term, and with the approach of the outcome on February 1 of the first FOMC of the year, the financial community was able to take note of the personal consumption expenditures (PCE) inflation figures, the Fed’s flagship measure in its assessment of the price increase. Unsurprisingly, prices, excluding food and energy, rose by 0.3% in December, on a monthly basis. Over one year, this so-called underlying inflation slowed to +4.4%.
Yesterday, the data in very first estimates of the American GDP in Q4 exceeded expectations, coming out at +2.9% at an annualized rate, against a consensus at +2.6%.
KEY GRAPHIC ELEMENTS
We are now witnessing the major test of the upper limit of a large range at 11,450 points. Observation at this stage of volumes, the combined pattern of candles, volatility, and sectoral federation will be essential to characterize the test. A start of the session in the red is expected on Wednesday, corroborating the idea of an intermediate ceiling, the crossing of which is not in the news. The quasi bearish harami, with doji in the second candle, already gave the alert on Tuesday January 24 at the close.
In view of the key chart factors that we have identified, our opinion is neutral on the Nasdaq Composite index in the short term.
We will take care to note that a crossing of 11750.00 points would revive the tension in the purchase. While a break of 10250.00 points would relaunch the selling pressure.
CHART IN DAILY DATA
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