NASDAQ 100 Technical Analysis
The Nasdaq 100 rose a bit during the early hours here on Monday after testing the 50-day EMA and the uptrend line that is the bottom of the overall channel we have been in for most of the last several months. The 25,000 level is a significant area of both support and resistance and, of course, has a lot of psychology attached to it. So, the fact that we’re bouncing here isn’t a huge surprise.
Dow Jones 30 Technical Analysis
The Dow Jones 30 has bounced a little bit as well, as it looks like 47,000 continues to at least offer some support despite the fact that we did plunge far below there during the day. The 50-day EMA offers support as well. But at this point, I think we’re going to head right back up toward the 48,000 level—unless, of course, something upsets the markets, which is always possible. But right now, things look pretty good, pretty solid. So overall, I think this remains a buy-on-the-dip type of situation, and I just don’t see that changing very quickly.