The Nasdaq 100 was very noisy in the early part of Monday, as the markets continued to move on the interest rates in the US. The war headlines continue to move the markets, just as they have on Monday.
NAS100
The Nasdaq 100 has been all over the place during the trading session on Monday as we opened up the session with Donald Trump suggesting that conversations with the Iranians both directly and indirectly were going very well. However, we have since then seen several headlines to suggest that it is going to be quite some time before this war ends.
The French have proposed some type of ceasefire between the Iranians and the US and Israeli forces, but it is suggested that Israel had scoffed at what the plan had entailed while Iran now looks as if it is going to demand that any action against Hezbollah cease or it will start sending rockets into the country of Israel again.
All things being equal, there have been some signs of opportunity for peace to break out. For example, 20 tankers were allowed to go through the Strait of Hormuz, which is a good sign. But at the same time, it seems like there is a lot of gamesmanship being played with the world's financial markets.
Technical Support Levels
Quite frankly, I still think the Nasdaq 100 is holding up fairly well even though we are technically in a correction now considering what's going on. I think most of what you're seeing is just a simple lack of faith and willingness to put money into the market. It's not like people panicking; I just think they're waiting.
So, I watched the 23,800 level. If we can retake that, it would be a really good sign. If we continue to fall from here, keep an eye on the next support level right around 22,500. Ultimately, this is a market that continues to see a lot of volatility.
Potential signal: I am a buyer of NAS100 above the 23,800 level, with a stop at 23,600. I would be looking for a move to 25,000.