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NASDAQ Price Forecast – NASDAQ 100 Continues to Grind Away

By:
Christopher Lewis
Published: Apr 2, 2024, 12:54 GMT+00:00

The NASDAQ 100 looks very much like a market that is trying to work off excess froth at the moment, as we wait for the jobs numbers on Friday.

In this article:

NASDAQ 100 Technical Analysis

Taking a look at the NASDAQ 100 you can see that we did pull back just a bit in the early hours on Tuesday as the market continues to be somewhat choppy and noisy. I expect that to be the case most of this week because quite frankly, everybody’s going to be paying attention to the jobs number on Friday more than anything else.

With that being the case, I think you are still more likely than not going to be looking for pullbacks to buy into, but that doesn’t necessarily mean that you go all in. I think position sizing will be a crucial factor here, and of course, something that has to be paid close attention to. The 50-day EMA, currently sitting just above the 17,775 level, is a dynamic level that I’m looking at as potential trend support.

Furthermore, the 17,775 level is important based on previous action anyway, so it all ties together quite nicely. I think as long as we can stay above that, and it certainly looks like we can, this is a market that’s just going to continue to grind higher. That might be the phrase to think about the most though, that it’s a grind, it’s not something that’s going to be easily accomplished.

There have been some issues with some of the big stocks that everybody owns recently, but nothing too toxic. Granted, the market is very stretched, but it’s done the stretching in a very methodical way. So, it’s not even thought of as momentum at this point. It’s just a one-way trade, and therefore there’s no point in fighting it. If we were to break down below the 17,775 level, then you can start to have other questions to ask. Perhaps we could get a larger pullback, for example. But right now, it still looks very much like buying on the dip.

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

About the Author

Being FXEmpire’s analyst since the early days of the website, Chris has over 20 years of experience across various markets and assets – currencies, indices, and commodities. He is a proprietary trader as well trading institutional accounts.

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