NASDAQ 100 (NAS 100) Trading Volume Realigns with Normative Levels Amidst Bullish Trends

Azeez Mustapha

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NAS100 Analysis – May 30

Following a transient downturn in April, the NASDAQ 100 (NAS 100) has exhibited a notable recovery, with trading volumes returning to their customary levels. The downturn was characterized by an atypical spike in trading volume, contrary to what one might expect during a price decline. As the index regains its upward trajectory, a normalization of volume suggests a stabilized market environment.

NASDAQ 100 Key Technical Levels:

Demand Levels: 16995.0, 16177.0, 15776.0
Supply Levels: 19200.0, 19500.0, 20000.0

NASDAQ 100 (NAS 100) Trading Volume Realigns with Normative Levels

Long-Term Market Outlook: Bullish

An analysis of the NASDAQ 100 daily chart from prior months reveals remarkable consistency in the trading volume, with daily bars maintaining a uniform length indicative of stable participation. However, April’s bearish divergence from the established trading channel precipitated a volatile downturn, with the index retracting to a demand level of 16995.0. This movement was accompanied by a discernible surge in trading volume, resulting in the elongation of volume bars.

The dip to 16995.0 appears to have been a strategic mitigation of a bullish order block, potentially signaling that institutional investors, or ‘whales’, capitalized on the lower prices to accumulate positions for anticipated gains.

Short-Term Market Outlook: Bullish

NASDAQ 100 (NAS 100) Trading Volume Realigns with Normative Levels

With the recent breach of the 18474.0 resistance level, market sentiment is poised for a potential surge toward the 20000.0 mark, which stands as the next significant psychological barrier. Traders and investors alike may view this as a confirmation of continued bullish momentum, warranting attention to these key levels for potential strategic entries and exits in the market.

As trading volume stabilizes, the NASDAQ 100’s trajectory aligns with the (MACD) Moving Average Convergence Divergence and the Moving Average indicators, providing a clear narrative for market participants observing long-term trends.

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Azeez Mustapha

Azeez Mustapha is a trading professional, currency analyst, signals strategist, and funds manager with over ten years of experience within the financial field. As a blogger and finance author, he helps investors understand complex financial concepts, improve their investing skills, and learn how to manage their money.

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