NASDAQ Forecast October 8, 2014, Technical Analysis

The NASDAQ as you can see gapped lower at the open on Tuesday, but still remains just above the top of the hammer from several sessions ago that is now offering support. If we can break down below there, we think the market could go bit lower, at least down to the 4300 level where it would find a bit of support. Any type of supportive candle down there could very well have buyers rushing back in, so we would be interested in going long at that point time. However, at this moment in time it has to be said that the market looks very susceptible to the downside.