NASDAQ 100 Weekly Price Forecast – NASDAQ 100 Continues to See Wild Swings This Past Week

NASDAQ 100 Technical Analysis

The NASDAQ 100 initially tried to rally a bit during the course of the week, testing the 19,500 level as traders started to celebrate the idea that the Federal Reserve might be cutting rates. After the meeting in the United States by the Federal Reserve people had just assumed that interest rates were coming, and it was going to be more of the same.

That being said, this is a market that has gotten crushed due to not only the realization that perhaps the economy is struggling, but now on Friday we’ve gotten a very weak jobs number only adding 114,000 instead of the expected 175,000. In general, we are in an area that could be a bit of support, so we’ll have to wait and see how this plays out. But I think at this point you have to be very cautious about buying this pullback, and you want to at least see some type of turnaround before buying.

I certainly would not go into this market with a big position because quite frankly, this is a market that has needed a massive correction for a while, so we’ll have to wait and see whether or not that plays out for a deeper correction or if this is just a short one. The position sizing could be the only thing that you have the ability to control here, but even though things look very brutal on the short-term charts, the reality is all you need to do is look at the weekly chart and recognize that we are still very much in an uptrend despite the fact that this has been so ugly.

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