Nasdaq 100 Futures: On Track for a Short-Term Test of 23,421.75?

Nasdaq Futures Cool Off After Strong Run—Time to Watch the Floor at 23,421.75

E-mini Nasdaq 100 futures pulled back just a touch at the mid-session today, down about 0.24% at 23,746 as of this latest read. Nothing dramatic, but it’s the third red candle in a row since tagging that recent high at 24,068.50. Bottom line? We might be working off some of the excess from the big run over the past few weeks.

Is This Just a Breather or the Start of Something Deeper?

I don’t think we’re looking at a major reversal—at least not yet. More likely than not, this is just the market catching its breath. Remember, we ripped from the 21,566 low in late June to over 24,000 without much of a pause. That kind of move usually needs to cool off before any serious attempt at another breakout.

There’s some early support lining up around 23,421, which was a little swing low from earlier this month. That level could act like a short-term floor. Below that, the 50-day moving average at 22,959 is the next spot I’d watch—stronger support, and it’s been rising steadily, which tells me the trend’s still intact.

What’s the Smart Money Doing Right Now?

I think buyers are still lurking under the surface. The recent dip doesn’t feel like a full-on unwind—more like consolidation near the highs. The market hasn’t been spooked by anything specific; it just ran a bit too hot. And unless we see bad news from earnings or the Fed, traders may look at pullbacks as potential buying opportunities.

That being said, if we start breaking under 23,421 and can’t hold the 50-day, then we might be looking at a deeper correction. I don’t see that as the base case right now, but it’s worth having on the radar.

What Could Push Nasdaq Back Toward the Highs?

Well, earnings from heavyweights like Nvidia, plus Powell’s Jackson Hole speech, could light a fire under tech again. If the Fed signals it’s willing to stay dovish while inflation softens, growth stocks could catch another bid.

Bottom line: We’re still above trend, and the uptrend’s not broken. But the Nasdaq’s clearly pausing here. I’m keeping an eye on 23,421 as near-term support, and watching for any signs of a bounce—or a breakdown. Time will tell.

What’s Popping and Dropping in the Nasdaq Right Now?

Even with the index easing back a bit, we’re still seeing some names attract attention.

On the upside, Trade Desk (TTD) is having a solid day, up over 4.4%. No fresh headlines, but it looks like buyers are stepping in to drive the market through the 200-day moving average. Lululemon (LULU) is also catching a decent bid, up almost 3.8%, possibly on bargain hunting after a stretch of underperformance. Starbucks (SBUX) is climbing too—up 2.5%—as consumer staples and defensives see some love.

Tech hardware isn’t completely dead either—Micron (MU) and Applied Materials (AMAT) are both up a bit over 1%. Could be some positioning ahead of Nvidia’s earnings, as traders look for sympathy plays.

On the downside, Meta (META) is weighing on the index, off 2.6%, as some profit-taking rolls through after its recent rally. Palantir (PLTR) and Electronic Arts (EA) are down more than 2%, with no big news but some rotation out of AI/defense names today.

Semis are mixed. NXP (NXPI) is in the green, but AMD is sliding, down 1.3%. Broadcom (AVGO) is off almost 1.5%. Could be nerves ahead of supply chain updates in upcoming chip earnings.

Bottom Line

The Nasdaq’s taking a breather, but there’s still stock picking opportunity if you dig a little. Bulls are trying to defend the 23,400s, and until that breaks, tech dip buyers may stay active. I’d watch how these names behave into the close—especially META, AMAT, and MU—for clues on sentiment heading into Tuesday.

More Information in our Economic Calendar.