NAS100 Weekly Analysis/Navigating Key Pivot and Resistance Level

30 Jun

Technical Weekly Analysis: US NASDAQ 100 (NAS100)

A Short Outlook on the Previous Movement:
The US NASDAQ 100 (NAS100) has been trading within a primary ascending channel since the significant drop during the COVID-19 period. The index experienced a strong bullish trend, reaching new highs before facing periodic pullbacks. These pullbacks have been opportunities for the price to gather momentum for further upward movement.

Current Outlook:
The current price of NAS100 is around 19,754.9, positioned near the pivot line at 19,103.5. The index is testing a resistance line near 20,537.0, and the market is awaiting a decisive move. The recent movement suggests potential consolidation before a breakout.

Bullish Scenario:

• Key Trigger: Daily closing above 19,525.0 and sustained move above the resistance line at 20,537.0.
  
• Targets: The immediate target would be 20,537.0, with potential further movement towards 21,000.0.
  
• Confirmation: A break above 20,537.0, supported by strong buying volume, would confirm the bullish continuation towards 21,000.0.
  
  Bearish Scenario:
• Key Trigger: Daily closing under 19,525.0 and sustained move below 19,103.5.
  
• Targets: If bearish momentum continues, the price could drop towards the support line at 17,898.9, further down to 16,548.0.
  
• Confirmation: A decline below 19,103.5 and 19,525.0, along with increased selling pressure, would confirm the bearish outlook.
  
  Key Levels:
• Pivot Line: 19,103.5
  
• Resistance Levels: 20,537.0, 21,000.0
  
• Support Levels: 19,103.5 (Pivot Line), 17,898.9, 16,548.0, 15,766.2
  
  Expecting Weekly Range Movement:
  - The anticipated weekly range is between the support at 17,898.9 and the resistance at 20,537.0. A breakout in either direction would define the next significant move.
  
  Preferred Direction:
  - Given the strong historical bullish trend and the current positioning near the resistance line, the preferred direction leans towards bullish if the price can break and sustain above 20,537.0. However, caution is advised as the market could still face significant resistance and potential pullbacks.
  
  Summary:
  The NAS100 is currently at a critical juncture. A breakout above 20,537.0 would confirm a bullish continuation towards 21,000.0, while a failure to break this level and a decline below 19,103.5 would signal a bearish move towards 17,898.9 and potentially 16,548.0. Traders should closely monitor the price action around these key levels to determine the next major trend.
  
  PREVIOUS WEEKLY IDEA: