Adding a slight boost to the risky sentiment that hit the markets this Monday was the announcement by a subsidiary company of United Biomedical Inc (UBI) that it had developed a coronavirus vaccine candidate that induced neutralizing antibodies in 100% of participants in its phase 1 clinical trial.
COVAXX, the UBI subsidiary, indicated that its coronavirus vaccine candidate named UB-612 produced neutralizing antibodies in all test subjects that participated in the trails, following the administration of two doses of the vaccine candidate. It also said that the doses were well tolerated, which provided a “reassuring safety profile”.
Market reaction was muted but positive, as United Biomedicals is a privately held company which is not listed on the US markets. This did not stop the Nasdaq 100 from gaining 0.39% to move to new record highs at 13,695.3.
Technical Outlook for Nasdaq 100
The index is now pushing towards the channel’s return line on the daily chart, which is expected to make contact with the 127.2% Fibonacci extension level at 13723.0, thus forming the next upside target. Above this the 141.4% Fibonacci extension comes in at 14215.3.
On the other hand, a pullback targets the 4 February low at 13344.2, with the potential of a decline towards 13135.5 or 12973.9 if the channel’s trendline gives way. A further decline targets 12163.4 and potentially 12003.6, in that order.
Nasdaq 100 Daily Chart