It appears just like the pattern remains to be our good friend on this one, fellas!

Will consumers hold defending this assist zone on the Nasdaq 100 index?

Nasdaq 100 (NDX): 1-hour

Nasdaq 100 (NDX) 1-hour Chart by TradingView

Take a look at this space of curiosity holdin’ like a boss on the hourly time-frame!

Not solely does it line up with a short-term rising pattern line that’s been holding for the reason that begin of the yr, nevertheless it additionally coincides neatly with the 100 SMA dynamic inflection level.

What are technical indicators saying?

The 100 SMA is safely above the 200 SMA, confirming that the trail of least resistance is to the upside. In different phrases, there’s a robust likelihood the rally might stick with it from right here.

Simply watch out since Stochastic is already dipping into the overbought area to replicate exhaustion amongst consumers, so turning decrease would possibly result in a fast dip.

Additionally, don’t neglect that Uncle Sam has the CPI readings lined up as we speak, which suggests we would see a whole lot of volatility in U.S. markets once more.

Bear in mind how the surprisingly robust January NFP spurred a pointy greenback rally that lasted properly till the next buying and selling week?

Quantity crunchers expect to see a 0.5% rebound from the headline CPI whereas the core model of the report would possibly present a barely quicker 0.4% achieve in contrast the earlier 0.3% uptick.

Nevertheless, the year-over-year CPI studying is projected to have fallen from 6.5% to six.2% for January, which could nonetheless solid doubts on the Fed’s hawkish views. If that’s the case, danger property like equities might take benefit and lengthen their positive factors!

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