Is NASDAQ ready to reverse?

4 Okt 2023

Decline for the US technology stocks index, closing the session sharply lower with a loss of 1.83% from previous values. The start was weak for the index, which began the day at 14,744 points above the previous session's bottom, only to worsen its performance throughout the meeting and end even lower at 14,565.6, the session's lowest level. The technical picture of the Nasdaq 100 signals an expansion of the negative trendline with a descent to the support seen at 14,475, while to the upside, it identifies the resistance area at 14,746.9. The forecasts suggest a possible further decline with the target set at 14,384.3. Key levels: Resistance at 15,020 and Support at 14,380. Furthermore, I note that the price is currently in a potential recovery, confirmed by the break of the previous swing low at the level of 14,810 and the creation of a new swing low at 14,650. Today, we will have the US ADP NFP and later ISM Service data. Finding potential entry points will be slightly challenging, considering potential volatility that could affect the market following the news release. My view is bullish, and I will seek an upward movement until the level of 15,000. Let me know what you think. Happy trading and greetings from Nicola, the CEO of Forex48 Trading Academy.