Nasdaq Composite and Nasdaq 100 slip under 100-day averages, aiding bearish control

Tech shares came under heavy pressure after Alphabet reported earnings after yesterday's closing bell. At the same time, markets are weighing the FOMC rate decision, a hotter inflation reading, GDP that beat forecasts, a steady jobs picture and oil prices that, while down on the day, remain around $100.

With so many factors in play, equities are struggling, particularly technology and AI-related shares. The Nasdaq Composite and the Nasdaq 100 are each off roughly 1.5%, while the S&P 500 has fared better, slipping about 0.50%.

That same split shows up on the charts. The S&P stays above its key support on the daily timeframe, but each Nasdaq benchmark has dropped beneath its 100-day moving average. Until buyers take those levels back, the downside pressure stays with sellers.

S&P 500: Still stronger, though under the hourly averages

Price on the S&P has slipped underneath the 100- and 200-hour moving averages, which have nearly converged near 7726. That zone now serves as a tight gauge of control between buyers and sellers.

If the index climbs back over that zone and remains there, the technical backdrop would brighten and buyers would gain firmer footing. Holding below, though, keeps the edge with sellers over the near term.

To the downside, the S&P is still comfortably above its rising 100-day moving average, located at 7612.92 and lying within the wider swing region of 7573 to 7617. Should selling intensify, that convergence makes the zone a notable support objective.

Nasdaq Composite: 100-day MA turns into the risk indicator

The Nasdaq Composite's chart looks distinctly more negative.

Sellers pressed against the declining 100-hour moving average, which now sits near 26594, during yesterday's session. On today's trading, the index opened with a gap down and pushed further under the 100-day moving average at 26254.52.

That daily average now defines the main risk line. To regain any measure of influence, buyers need to climb back above that mark and defend it. An upside break that fails would leave the pressure intact.

Without such a rebound, the following significant downside objective is in the vicinity of 25831, where lows from September and October established a bottom. Slipping under that floor would point the index toward the rising 200-day moving average, around 25045 at present.

Nasdaq 100: Sellers gain grip under the 100-day MA

The Nasdaq 100 took a comparable route. Before the FOMC decision and yesterday's earnings, the 100-hour moving average, now close to 29785, acted as resistance that sellers leaned against.

Today the index opened below its 100-day moving average at 29559.42 and fell as far as 29257.05.

That 29559.42 mark now serves as the main gauge for any comeback. A sustained move above it would afford buyers a bit of space. While it remains underneath, sellers hold the upper hand.

Further down, the next big support territory sits between 28822 and 28953, a zone that underpinned the market in August and September. Buyers are likely to protect that band. A drop beneath it would further damage the technical setup.

Microsoft steadies while Alphabet drops sharply

The response to quarterly results complicates the market's divergence further. Microsoft shares are only slightly lower after topping forecasts, whereas Alphabet has tumbled roughly 12% as the market takes a dim view of its artificial-intelligence spending narrative.