The NASDAQ 100 tries to find its footing. The market wants to bounce back from a big drop. On Friday, it showed signs of turning around.
Early Friday, the NASDAQ 100 dropped a bit. But it looks ready to turn around. The 19,500 level is key support. Breaking below that could mean more selling. But it seems the market will try to stabilize.
Lately, money moves from big tech to smaller companies. The Russell 2000 has seen interest. Money leaves high-flyers and moves to these smaller stocks. It’s hard to say if this will continue. But soon, the value in big tech may be too good to ignore.
If it stabilizes, next week could bring recovery. If it falls below 19,500, it may go near 19,000. NASDAQ 100 not built to fall for long. The market will stay noisy. Expect ups and downs.
Most of the recent activity in the NASDAQ 100 involves a shift from high-flying tech stocks to smaller companies. The Russell 2000, made up of these smaller companies, has seen increased interest. Investors are taking money out of the larger tech stocks and putting it into the Russell 2000. It’s hard to predict if this trend will continue. However, the value of big tech stocks may soon be too attractive to ignore.
The key takeaway is to watch the 19,500 level. This level will give clues about the market’s direction. If the market stays above this level, a recovery is likely. If it falls below, there might be more selling. But, in the long run, the NASDAQ 100 is likely to recover. The market’s current noise is part of its nature, so expect more fluctuations.
To read our article about “US Nasdaq gains more than 3% thanks to Meta” click here.
