US Tech 100

Nasdaq 100 forecast supported by trade optimism and renewed boost in chipmakers, and no major bearish catalysts in play, this is allowing dip-buyers to dominate as technical signs point to new highs amid strong bullish momentum

Something big now has to happen, you’d feel, for the Nasdaq 100 forecast to turn bearish again. Otherwise, continued grind higher, with shallow dips is what I envisage will happen in the days and weeks ahead.

Over the past 10 trading sessions, the Nasdaq 100 index has shown a strong recovery, gaining more than 13%, driven in part by easing trade tensions between the United States and China, which has helped restore short-term market confidence.

A day after we saw the unwinding of “Sell America” trade, index futures were back down as a rally in global equities lost momentum. Once again, optimism over a swift resolution to the US-China trade spat was dealt a blow.

Concerns about a deteriorating growth outlook amid trade war risks means the Nasdaq 100 forecast is remaining not so certain. Another choppy week could be ahead of us, as attention turn to more company earnings, with Tesla set to post its results after the close.

It has been another volatile session for markets, with European indices managing to turn flat to slightly firmer, and US index futures managing to claw back from earlier lows, having been rattled initially by a sharp Nvidia-led sell-off overnight

It might be too early for us to change our Nasdaq 100 forecast to bullish from neutral. Perhaps volatility will ease a little this week, but with earnings from tech giants to come in the next couple of weeks, on top of all the trade war saga, anything is possible.

Markets are catching their breath after Wednesday’s dramatic rebound, but Thursday’s early action suggests the euphoria was short-lived. At the time of writing in mid-day London trade, Nasdaq 100 futures were down nearly 2.5%, with similar performance observed across global indices.

President Trump made an unexpected reversal on Wednesday by temporarily lowering tariffs on many of the countries he had just imposed them on. Risk surged, seeing the Nasdaq achieve its fourth best day in history and AUD/USD marked its best day in 15 years.

A flurry of contradictory tariff headlines and a close-door Fed meeting made for another lively start to the week, but there are tentative signs of stability (at least by recent standards) on AUD/JPY and Wall Street indices.

Once again stocks gapped down, but this time, a rally ensued even with a tariff pause headline being walked back by the Trump administration.