Introduction
After a strong rally that pushed NQ toward the 25,000 psychological level, momentum has stalled slightly with the last two sessions in the red. The overall trend is still bullish, however, and bears still have a lot of work to do if they want to reverse the outlook of the NASDAQ. Let’s take a closer look at the technicals.
Technical Update
Trend
The overall structure remains bullish as 13 out of 14 candles ended in the green since the start of September. Higher highs and higher lows are also supported by the 50-day MA (23,748), and price is well above the 200-day MA (21,709).
Support Zones
23,900–24,000: Important near-term support zone, reinforced by the 50-day MA.
23,200–23,400: Deeper support, previous zone of accumulation.
Resistance
The 25,000 level remains a psychological ceiling, where some selling pressure has arrived. Bulls must clear and sustain above this to extend the rally.
The U.S. stock market, and especially the Nasdaq, is being supported by a mix of earnings strength and uncertainty around the global economy. NQ has rallied strongly on optimism around tech and AI-related sectors, where earnings have continued to surprise to the upside. At the same time, fundamentals remain tied to the Federal Reserve’s policy path. Inflation is easing but still above target, keeping rate-cut expectations cautious and highly data-dependent on each CPI, PCE, and jobs release.
Key Levels
| Level | Type | Note |
|---|---|---|
| 25,000 | Resistance | Psychological ceiling |
| 23,900–24,000 | Key Support | Supported by 50-day MA |
| 23,200–23,400 | Major Support | Last consolidation base |
| 21,709 | Long-Term Support | 200-day MA |
Outlook
Bull Case:
If buyers defend the 24,000 area, NQ could consolidate and gear up for a breakout above 25,000, potentially targeting 25,500–25,750 in the next leg higher.
Bear Case:
Failure to hold above 24,000 would open the door to a retest of 23,200–23,400, which must hold to maintain bullish momentum.
Ending Off
NQ is still in a bullish trend, but short-term price action might be leaning toward a possible pause. Bulls will be keeping an eye on earnings strength, the 24,000 level, and the overbought RSI.
