NASDAQ 100 Price Forecast – NASDAQ 100 Continues to See Noisy Uptrend

NASDAQ 100 Technical Analysis

The NASDAQ 100 has started to try to probe for support near the $19,750 level pre-market on Friday. However, it’s probably worth noting that Friday is also options expiration, it’s a big one, and it is the largest ever. So, this clearly will have a major influence on the stock market and could cause quite a bit of erratic trading.

The trend of course won’t be influenced, the trend is still to the upside, so no matter what happens on Friday, I wouldn’t necessarily think that the trend is changing. It’s worth noting that the 20,000 level had been broken, but now it looks like we are struggling to stay above there. I do think eventually options traders will push this market in that direction.

So, we’ll have to wait and see. This could end up leading to something called a gamma squeeze. And without giving a dissertation on that, let’s just say it comes down to dealers having to cover positions in order to keep the book straight. So with that being said, I do think that we still have a proclivity to go higher, but I also recognize that Friday is going to end up being a very noisy and difficult day to read much from. However, it’s worth noting that the Monday session is rather quiet as far as noise is concerned from the economic calendar, so it could very well lead to a positive Monday regardless of what we see next. After all, that is the nature of these markets at the moment.

For a look at all of today’s economic events, check out our economic calendar.