Ares Capital ticks up 0.66% in after hours trading; currently at $18.35

A quick look at yesterday: the financial solutions provider dropped 1.03% early on and traded close to the $18.23 level.

Amid the market gloom, United States API Weekly Crude Oil Stock came out at 3.62 million, while a consensus of analysts was expecting -1.6 million. United States 3-Year Note Auction released yesterday at 17:00 UTC with a figure of 3.695, while the previous figure was 3.81.

Ares Capital Corporation made an initial break below its 50 day Simple Moving Average at $18.23, a possible indication of a forthcoming negative trend. Ares Capital is currently flirting with an active Fibonacci support level around $18.18. Ares Capital's upper Bollinger Band® is at $18.67 which indicates a further downward move may follow. Despite this, Ares Capital could begin to recover as it approaches significant support, now 12 cents away from $18.11. Dipping below could be an indication that further losses are ahead.

Following today's unexpected losses, extensive multifactorial technical analysis forecasts Ares Capital to buck against its prevailing uptrend and begin to dip lower in the short term. With all probabilities considered, the the business development company is expected to attract significant bearish sentiment in the coming days.

Ares Capital was not the only decliner in the financials sector; Royal Bank Of Canada slumps 1.47% yesterday to close at $98.21. HDFC Bank Limited closed at $66 (down 1.68%).

On the other hand, positive performances could be seen by looking at other financials stocks as Visa Inc. was up 0.44%.

Some optimism can drawn from the fact that United States Producer Price Index is projected to outperform its last figure with 0.3%. It previously stood at -0.5%; data will be released tomorrow at 12:30 UTC. United States Crude Oil Inventories is projected to outperform its last figure with -917,000, having previously been at -1.28 million. The figure will be published today at 14:30 UTC.

Furthermore, United States Consumer Price Index figure is projected at 0.4%. It previously stood at 0.1%; data will be released today at 12:30 UTC.

The stock has been trending positively for about a month. The business development company has shed 7.95% over the past three months.