Nasdaq 100 Index Chart
Today’s chart focuses on the market leader, the Nasdaq 100 Index (NDX).
It recently broke its up-trend line and may now be rallying to test its underside.
The Nasdaq 100 has suffered the same deterioration in price trend and momentum as has the S&P 500 Index. So while a bounce occurred on Monday, it’s thought that prices might not push too much higher this week before some additional consolidation takes place.
Large-cap Technology largely has not suffered much damage, so stocks like AAPL, GOOGL, MSFT, AMZN will be key to watch in the days ahead for any evidence of waning / caution.
Key Broader Market Points:
1) This remains a bear market bounce, NOT the start of a new bull market
2) Any stalling out in early/mid-May that backtracks likely will NOT reach new lows right away given the extent of our rally.
Twitter: @MarkNewtonCMT
Author has positions in mentioned securities at the time of publication. Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.
