Summary
The Nasdaq 100 rebounded from key technical support on Monday, as we continue to see buyers jumping on value as it presents itself.
Nasdaq 100
The Nasdaq 100 has rallied a bit from the 50-day EMA at the open on Monday, and it does look like it's trying to build up pressure to go higher. That being said, there are a lot of moving pieces at the moment, and I think choppy volatility continues to be a major situation here.
The long-term bullish trend is still very much intact, and it's worth noting that it is in a resilient and recovery-type phase here, after we continue to bounce off this major trend line. The market is currently shrugging off the geopolitical shock of the U.S. capture of Venezuelan President Maduro over the weekend.
AI Focus and Key Technical Levels
While this has caused some energy stocks to spike, the broader tech sector in the NASDAQ is holding firm and just rising. It shifts focus to the CES 2026 trade show starting in Las Vegas. The tech stocks that are in focus today, as investors await the results and keynote from the Nvidia talk at CES, obviously are AI-driven, and that will more likely than not continue to drive this market higher.
The Nasdaq 100 is essentially in a bullish correction and consolidation at the moment. And if we can break above the 26,000 level, then I think the Nasdaq 100 really starts to take off again. While pullbacks are certainly possible, I look at them as mainly buying opportunities.
Nothing's changed here other than the market basically went to sleep over the last couple of months. Over the next couple of weeks, I do expect to see pressure build up here, and that pressure, more likely than not, should get released to the upside from everything that I'm seeing.
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Again, there are levels underneath that would cause concern. If we were to break down below the 24,000 level, I think I'd be concerned about the trend at that point. Let’s see where we stand right now. It looks like buyers are willing to step in and pick up every time there's a drop.
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