nasdaq 100 futures

Brief: Sea of Red in Global Stocks & Crypto; Fear and Greed Index at 63

US futures are struggling today even after the House of Representative and Senate passed the new $900 billion stimulus package. The Nasdaq 100 futures are down by 0.20% while the S&P 500 and Dow Jones dropped by 0.45% and 0.50%, respectively. At the same time, the fear and greed index has moved back to 63, which is lower than 69, where it was last week.

What happened: After months of negotiations, Congress passed the new stimulus package that will provide relief to the American economy. The bill will now be passed by Donald Trump followed by disbursement by the Treasury Department. 

Therefore, US equities are falling because of the buy the rumour, sell the news situation. They are also falling because the funds don’t seem enough considering that the economy needs more money to deal with the crisis. 

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What about fear and greed: The fear and greed index is closely watched because it provides a gauge of the state of the market. Today, the index has dropped to 63, meaning that investors are getting greedy. This level is slightly below the recent high of 88. The stock price strength and breadth, and market momentum are in the extreme greed zone while junk bond demand is in the extreme fear level. 

Fear and greed index chart

What is happening elsewhere: It is a sea of red in global equities, with the Nikkei 225 and Hang Seng are down by more than 1%. In Europe, DAX index and FTSE 100 futures are also down by about 0.80%. The same trend is happening across other assets, including crude oil, gold, silver, copper, and cryptocurrencies.

Nasdaq 100 technical outlook

What next for the Nasdaq 100 index: The Nasdaq 100 index is hovering near its all-time high of $12,792 as demand for technology companies rise. It remains above the short and longer-term moving averages and the ascending blue trendline. Therefore, the index will remain in a rising trend so long as the price is above $12,000.

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Nasdaq 100 technical chart

Nasdaq 100

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