NASDAQ 100 Price Forecast – NASDAQ 100 Continues to Consolidate Ahead of FOMC

NASDAQ 100 Technical Analysis

The NASDAQ has pulled back just a bit in the four-hour time frame as we continue to consolidate. Remember, the NASDAQ 100 is highly sensitive to what the central banks out there are doing. And of course, with the FOMC meeting on Wednesday, a lot of attention will be paid to the Federal Reserve. While we have drifted a little bit lower, I don’t read too much into it, and I believe at this point, it’s more or less just a market that is going to be killing time. The closer we get to the 19,000 level, the more likely we are to find buyers. Not to mention the fact that the support and that area runs about 50 points to the downside.

So, it’s a pretty thick area of potential buying pressure that I see. On the upside, the 19,140 level seems to be resistant, but if we can break above it, then we really should start to take off. If the FOMC seems a little bit dovish or non-committal, that will give Wall Street a reason to pump stocks and of course the Nasdaq 100 will take off in that scenario due to the fact that it’s basically only an ETF of about 3-5 stocks at this point, as it is not an equal weighted index. I am bullish, not wildly so, but I certainly wouldn’t short this market as it has shown itself to be so massively momentum driven. This is a major influence in this index personally.

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