Nasdaq 100 (NDX) Price Near 10812; Price Base in Formation Over Past 30 Days, Heads Down For the 3rd Consecutive Day

The Hourly View for NDX

Last Updated September 21, 2020, 12:58 GMT

At the time of this writing, NDX’s price is up 3 (0.03%) from the hour prior. It’s been a feast for bulls operating on an hourly timeframe, as NDX has now gone up 4 of the past 5 hours. As for the trend on the hourly timeframe, we see the clearest trend on the 20 hour timeframe. Price action traders may also wish to note that we see a pin bar candlestick pattern on NDX. Given that we see downtrend on the 20 and 10 hourly candle timeframe, and that such candlestick patterns often denote reversals, this may be worth noting. The moving averages on the hourly timeframe suggest a bullishness in price, as the 20, 50, 100 and 200 are all in a bullish alignment — meaning the shorter durations are above the longer duration averages, implying a sound upward trend.

Nasdaq 100 Daily Price Recap

Nasdaq 100 came into today down 1.3% (143.97) from the open of the day prior, marking the 3rd consecutive day it has gone down. Out of the 14 instruments in the equity indices asset class, Nasdaq 100 ended up ranking 13th for the day in terms of price change relative to the day prior. Let’s take a look at the daily price chart of Nasdaq 100.

NDX

Nasdaq 100 Technical Analysis

The clearest trend exists on the 14 day timeframe, which shows price moving down over that time. Price action traders in particular will want to note that the 30 day period appears to show price forming a base; this could indicate that a support/resistance level is developing. For another vantage point, consider that Nasdaq 100’s price has gone up 16 of the previous 30 trading days. Price action traders may wish to observe the bearish engulfing pattern that has emerged over the past two trading days; in light of the uptrend on the 14 and 90 day charts this may be particularly noteworthy, as it may signal the uptrend is cooling and ready to reverse.

Overheard on Twitter

Over on Twitter, here were the top tweets about Nasdaq 100:

  • From DPogrebinsky:

    @philgrahambiz Also i actually think friday midday turnaround was the low for tech. Read that nasdaq 100 short is at its largest position since march, think things go up and they get squeezed. $pins will break out over 40 to probably 43-45 too i think. Will get calls on $pins mon too

  • From amitgoel_amit:

    This week it was Nasdaq 100 yet again that led the global equities on the downward journey. Apart from US large tech stocks rest of the global risk assets fared rather well this week. While we expect Nasdaq 100 to continue to melt down over the next few weeks.

  • From RevShark:

    MORGAN STANLEY: Ginsburg’s death “adds another element of risk .. and could weigh on the market overall in the near term. .. We believe the S&P 500 and Nasdaq 100 remain vulnerable to a test of their 200-day moving averages, which are 7% and 14% lower, respectively.”

As for a news story related to Nasdaq 100 getting some buzz:

Nasdaq 100 Breaks Short-Term Support as 50-Day Averages Give Way | ChartWatchers | StockCharts.com

The daily bars in Chart 1 show the QQQ breaking last week’s short-term support and falling further below its 50-day moving average today….It now appears likely that the QQQ could drop to its next potential support level along its July lows.