NASDAQ Forecast – NASDAQ 100 Continues to See Buyers on Dips

NASDAQ 100 Technical Analysis

The NASDAQ 100 rallied a little bit during the early hours on Monday, which probably isn’t a huge surprise considering how the day closed on Friday. A flood of orders came into the market in the last hour, creating a remarkable amount of upward pressure. In fact, read somewhere over the weekend that the notional value or the nominal value of “SPIES”, meaning the SPY ETF, was something like $22 billion in the last 12 minutes of the day. So obviously, there’s a little bit of momentum.

Furthermore, it is the first day of the month and people are putting on new positions. So typically, the first day of the month does attract a certain amount of inflow anyway. We fell on Friday to touch the 50 day EMA and then turned around and formed a hammer. It now looks like the NASDAQ 100 is ready to go higher right along with the S&P 500 and pretty much anything else stock market related in at least the short term.

We are in an uptrend, and that’s probably the biggest thing that matters here anyways. So, I think we go looking to the 19,000 level again. And once we break above that, there’s really not much other than psychology to keep us from challenging 20,000 above. This remains a buy on the dip market going forward from what I see, and I will continue to see a lot of opportunities when we get these little drops. The market continues to see a lot of volatility, but upward volatility.

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