- The Nasdaq 100 initially at the open in New York jumped to a new all-time high and then fell.
- That being said, I don't think there's a lot to worry about with the trend.
- I think short-term dips will continue to be buying opportunities as market participants continue to look at this through the lens of a longer-term bullish trend.
It's also worth noting that at the end of the day, we will have options expiration so it could cause a lot of chaos. The 23,000 layer of orders in the past has been important. So, if we pull back to that area, I would anticipate seeing a little bit of a pushback from the bullish traders out there. If we drop down below there, then the 22,250 level is an area that I think is even more supported due to the fact that it was previous resistance. I don't like the idea of shorting indices regardless, and I certainly don't want to do it in an uptrend.
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Remember, indices are designed to go higher. Period. End of story. This is because they are not equally weighted, so just a handful of the large stocks can get them running higher. After all that being said, this is a market that continues to see just a handful of stocks out there, move things, and those stocks are all the usual suspect.
So, with that being the case, I like the idea of getting involved on short-term pullbacks, perhaps aiming toward the 23,500 level above, and possibly even higher than that. Again, I have no interest whatsoever in shorting this market. I think it's been far too strong over the last couple of months. You're just looking for value to take advantage of.
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