A quick look at yesterday: the financial solutions provider dropped 2.26% early on and traded close to the $18.17 level.

Data from United States concerning Crude Oil Inventories was released yesterday at 15:00 UTC. Newly published figures emphasized continued decline from last month's figure of 7.92 million to -3.83 million this month. United States Initial Jobless Claims fell short of the 260,000 projections, with new data of 264,000.

While price action maintains a negative bias, United States Existing Home Sales (May) released yesterday at 14:00 UTC with a figure of 4.3 million, while the previous figure was 4.29 million.

Trend-following investors would be interested to note that the Commodity Channel Index (CCI) indicator is below -100, meaning the market price is unusually low and below its rolling moving average. Technical analysis indicates that a new, strong downtrend could be forthcoming with short positions favored. Price action remains constrained around the key Fibonacci level of $18.35 currently serving as support. If price action breaks below, the next Fib hurdle is $18.11. Analysis based on the asset volatility indicates that Bollinger Bands® shows an indication of recovery: the lower band is at $18.22, a low enough level to, generally, suggest that Ares Capital is trading below its fair value. Technical chart analysis shows Ares Capital could begin to recover as it approaches significant support, now 13 cents away from $18.04. Dipping below could be an indication that further losses are ahead.

With market volatility ebbing, the current technical outlook indicates Ares Capital will remain range-bound for the immediate future.

Ares Capital was not the only decliner in the financials sector; JP Morgan Chase lost 1.93% yesterday and closed at $139.58. HSBC Holdings dips 1.83% yesterday to close at $39.42. Morgan Stanley lost 2.13% yesterday and closed at $84.5.

Furthermore, United States Services PMI is expected today at 13:45 UTC.

Trading mostly sideways for 2 months. The past 3 months have been positive for the financial solutions provider as it added 4.85% compared to its 3-month low of $16.84.