Morning Report – April 16th, 2014

Yesterday was a test for supply for the bulls below the 4000 level of the NASDAQ.  This is why I always prefer to wait for closing prices on the indexes to get a true feel for what is happening in the markets.  The first chart below, you will have to click on the link to see it, shows the defense of the 4000 level by the Bulls as the NASDAQ traded down to the 3946.03 level before the buyers stepped in to force massive short covering by the Bears. I have stated many times, critical support for the NASDAQ is at the 4000 level on the close, not intraday. Read Full Report