The NASDAQ 100 was positive again on Tuesday, as we continue to see a lot of back-and-forth trading in earnings season. Nvidia will be the next one to watch.
NASDAQ 100
The NASDAQ 100 has been positive again on Tuesday, but you can see we're just grinding back and forth dealing with the 25,000 level as a potential barrier. If we can break above there, then we need to pay attention to the 25,179 area, which is where the 50-day EMA currently resides. Breaking above that opens up quite a bit more momentum to the upside.
Keep in mind that the NASDAQ 100 will be dealing with earnings season and Nvidia is coming, so that's a big one. I think you've got a situation where it's probably easier to go higher than lower here once we get some type of external factor. If we can clear that 50-day EMA, then I fully anticipate that the NASDAQ 100 is probably likely to go to 26,000, maybe even 26,250 where we had seen the most recent pullback.
Range Bound Consolidation
The market has been grinding away and basically punishing anybody who's looking for momentum because it's just not there. I think that continues, at least for the short term, but it's worth noting that every sell-off has seen people willing to step in and pick it up. Today hasn't been any different.
Pay attention to what the market won't do just as much as it will do. I think we're stuck in a range-bound market that is consolidating after a nice run last year. There are a lot of doomsayers out there talking about how we're going to see another sell-off like we had seen in the early part of last year.
That's possible, anything's possible, but really right now this looks like a situation where in the meantime it looks like short-term pullbacks offer value.