Nasdaq 100 Analysis: Index Reaches Fresh Record High
The Nasdaq 100 index (US Tech 100 mini on FXOpen) has, for the first time in history, pushed above the 24,500 level.
According to media coverage, the rally was fuelled by the long-anticipated Federal Reserve decision to deliver its first interest rate cut of 2025. While policymakers signaled they will proceed cautiously with any further reductions, the move itself provided a strong boost to risk appetite. The bullish impact was not limited to U.S. equities, as European markets also advanced on the news, with technology stocks leading gains.
Technical Picture of the Nasdaq 100 (US Tech 100 mini on FXOpen)
Examining the Nasdaq 100 within the framework of September’s rally (outlined by the blue channel), several key points stand out:
→ In mid-September, sentiment kept the index trading in the upper half of the channel, with resistance at the top boundary (R) and support along line S.
→ Yesterday’s volatility surge created a move (highlighted with an arrow) similar to what we noted in today’s earlier — a sharp rebound from the channel’s lower boundary. This resembled a bullish engulfing pattern, though less distinct due to market volatility and the selected timeframe.
The rebound from support was swift and forceful, underlining strong purchaseing pressure. This allowed the index to clear several significant levels on its way higher:
→ the blue channel midline;
→ the R2 resistance line (marked in red);
→ the previous record high at 24,165.
Price action near 24,300 also reinforced purchaviewr conviction, as the index climbed above a cluster of local resistances before extending its rally.
Bearish perspective:
→ The sustained rally has pushed the RSI indicator into overbought territory.
→ When the index first pierced the psychological 24,500 level, it failed to sustain momentum, hinting at a possible false breakout.
Optimism currently dominates, supported by the Fed’s rate cut. This opens the door for further advances toward the upper boundary of the blue channel. However, the market also looks overheated, making it vulnerable to a potential pullback – for example, a correction toward the midline of the channel.
offers spreads from 0.0 pips and commissions from $1.50 per lot. Enjoy trading on MT4, MT5, TickTrader or TradingView trading platforms!
The is a dedicated mobile application designed to give traders full control of their accounts anytime, anywhere.
This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
Disclaimer: This sponsored market analysis is provided for informational purposes only. We have not independently verified its content and do not bear any responsibility for any information or description of services that it may contain. Information contained in this post is not advice nor a recommendation and thus should not be treated as such. We strongly recommend that you viewk independent financial advice from a qualified and regulated professional, before participating or investing in any financial activities or services. Please also read and review our.
