Nasdaq declines 3.52%, nearing critical support level

The Nasdaq Composite Index is down 3.52%, moving further from its 200-day moving average of 18,404. It is nearing a key support level at 17,284, which could determine future buying interest. This decline is among the largest daily drops of 2024, approaching previous declines between -3.26% and -3.64%. If the index fails to hold at the 38.2% retracement level, it may drop further to 16,382. To recover, the Nasdaq must surpass the 200-day moving average. A resistance zone between 17,832.70 and 18,086.83 poses a challenge for buyers. Currently, the index is down 13.3% from its December high.