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NASDAQ 100 Price Forecast – NASDAQ 100 Continues to Recover After NFP

By:
Christopher Lewis
Published: Oct 4, 2024, 14:52 GMT+00:00

The jobs report in the United States came out hotter than expected on Friday, and we have seen traders jump into the stock market as a result. With this, I believe this is an index that will continue to attract inflows going forward.

In this article:

NASDAQ 100 Technical Analysis

The NASDAQ 100 rallied rather significantly during the course of the early hours on Friday after the jobs report came in, roughly 100,000 jobs more added than anticipated. The unemployment rate in the United States dropped 0.1% below consensus as well. So the strength of the US economy has people jumping into Wall Street and buying stocks.

We are above the 20,000 level again, which of course is a victory in and of itself, but we also have to question whether or not people will start to whine about the possibility that the Federal Reserve may not cut as much as originally thought. Remember, although I do believe that the uptrend continues in general, the initial reaction isn’t always the correct one. Sometimes we get a correction and then we go on about our business.

All things being equal though, I think a short-term pullback probably ends up being another opportunity to get long of this market as it is so bullish, and really, I don’t have any interest in shorting the NASDAQ 100 anyway. Regardless of what happens, the Federal Reserve has already shown its willingness to bend its knee to Wall Street and start cutting rates, so here we are. I think eventually we will go looking to the 21,000 level, but that’s going to take some time to get there, obviously. The size of the 4-hour candlestick is rather impressive.

But at the end of the day, most of this is just noise directly after the non-farm payroll announcement. So I think it all comes together for what is probably confirmation of the trend. But whether or not we shoot straight up in the air, I think that still remains to be seen. Remember, short-term pullbacks, I believe at least, are going to offer buying opportunities.

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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