The Nasdaq 100 showed a modest gain of +0.06% in today’s session, with investors focusing on the upcoming U.S. non-farm payrolls report for November.
Key Points
- Powell signaled a strong economy, but markets expect a December rate cut.
- Tech earnings varied, with Salesforce up but SentinelOne down.
- Technicals suggest a retracement, watch support, and 200 EMA.
NASDAQ 100 Daily Price Analysis – 06/12/2024
The Nasdaq 100 has displayed marginal movement in today’s trading session, opening at 21,419.8 and currently trading at 21,435.0, reflecting a modest gain of +0.06%. This comes on the heels of Thursday’s session, where the index closed at 21,423.1 after opening at 21,471.6, registering a decline of -0.29%.
Investors are cautiously awaiting the release of the U.S. non-farm payrolls report for November, expected to show an addition of approximately 200,000 jobs, rebounding from October’s minimal gain of 12,000 jobs. This anticipated recovery is attributed to the return of Boeing workers post-strike and the normalization following disruptions from Hurricanes Helene and Milton.
Federal Reserve Chair Jerome Powell has indicated a stronger-than-expected economy, suggesting a potential slowdown in the pace of interest rate cuts. Despite this, market sentiment reflects a 74% probability of a 25 basis point rate cut in the upcoming December meeting.
The technology sector has shown mixed performance. While companies like Salesforce and Marvell Technology have reported strong earnings, others such as SentinelOne and Synopsys have faced declines due to earnings misses and subdued forecasts, respectively.
The recent surge of Bitcoin surpassing the $100,000 mark has positively impacted cryptocurrency-related stocks, including Coinbase, MARA Holdings, and MicroStrategy. This development has contributed to the overall performance of the Nasdaq 100, given the index’s exposure to the tech and crypto sectors.
Broader economic factors, such as political instability in regions like South Korea and France, have introduced volatility in global markets. However, the Nasdaq 100 has remained relatively stable, with investors focusing on domestic economic data and corporate earnings.
Key Economic Data and News to Be Released Today
The release of the Nonfarm Payrolls report at 8:30 a.m. ET is anticipated to be a major market-moving event. Economists project an increase of 200,000 jobs for November, with the unemployment rate expected to edge up to 4.2%.
Any significant deviation from these forecasts could influence market sentiment and impact the Nasdaq 100 as traders reassess the Federal Reserve’s policy stance. Stronger-than-expected job growth might prompt a reevaluation of the Fed’s anticipated rate cuts for December and beyond, while weaker data could reinforce expectations for continued monetary easing into 2024.
Shortly after the US market opens, the University of Michigan Consumer Sentiment Index will be released. Throughout the day, four Federal Reserve officials are scheduled to speak, potentially shedding light on the central bank’s policy direction before the media blackout for the December 17–18 meeting begins.
Additionally, corporate earnings reports, particularly in the retail and tech sectors, could introduce volatility as investors closely analyze companies’ forecasts for resilience amid shifting macroeconomic conditions.
NAS100 Technical Analysis – 6/12/2024
Nas 100 is bullish on the higher timeframe, while the lower timeframe is giving a bearish outlook. Let’s break it down:
On the 4-hour timeframe, price is currently trading inside of a rising channel. However, the RSI is overbought, giving us a potential bearish retracement to the key support level just below the current market price.
So, on the 15-minute chart, the seemingly small retracement is a significantly rewarding trade setup if it eventually works out. Price has already broken below the bullish trendline. Traders who are looking to short the market should wait till the price closes below the 200 EMA before opening a position.
NASDAQ100 Fibonacci Key Price Levels 06/12/2024
The technical setup suggests a cautious approach as the index is testing critical support levels. In view of this, here are some critical support and resistance levels to pay attention to:
| Support | Resistance |
| 21405.8 | 21504.8 |
| 21375.2 | 21535.4 |
| 21325.7 | 21584.9 |
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