The Nasdaq index sheds 200 points (-1.69%) as market bears take the reigns

Friday at a glance: the Nasdaq dropped 200 points early on and stayed at 11,400.

The Nasdaq chart analysis: Nasdaq could begin to recover as it approaches significant support, now 53.46 points away from 11,341. Dipping below could be an indication that further losses are ahead. Concerning technical analysis and more specifically, trend indicators, the Nasdaq made an initial break below its 200 day Simple Moving Average at 11,400, a possible indication of a forthcoming negative trend. Analysis based on the asset volatility indicates that Bollinger Bands® shows an indication of recovery: the lower band is at 11,282, a low enough level to, generally, suggest that the Nasdaq is trading below its fair value.

Overall, the technical outlook suggests the Nasdaq is likely to remain muted for the immediate future, with no clear-cut direction.

With markets struggling for positive sentiment, upcoming macro data could potentially attract buyers in the market as United States Pending Home Sales expected to decline to 1% while its preceding data was 2.5%, data will be available tomorrow at 15:00 UTC.

Moreover, United States Core Durable Goods Orders is projected to outperform its last figure with 0.1%, having previously been at -0.2%. The figure will be published tomorrow at 13:30 UTC.

The Nasdaq is up 13.48% from the significant low of 10,200 it hit a month ago.