Nasdaq 100 in Trouble as President Trump Moves Against Sino-US Trade Deal


Given the absence of significant economic data, fresh comments from President Donald Trump on the US breaking off reliance on China could cause serious problems for the Nasdaq 100 (NDX), as the Federal Reserve’s monetary policy meeting for September approaches.

However, with the incoming US Presidential election, many expected this to be a possibility given the frequency of attacks on Beijing by the US President. That said, it appears the markets are choosing not to react to the trade-related headlines.

Meanwhile, President Trump is currently lagging behind his Democratic opponent by 8% in the national polls, as 50.4% of Americans are in favor of a Biden presidency. However, the “decoupling” of the two world powers could become a likely scenario considering that the President has been closing in on the gap in recent weeks. A Sino-US trade-decoupling would be very devastating on regional risk assets.

That said, trade-related headlines could begin to hold major significance for the Nasdaq 100 and the Dow Jone (DJIA) in the near-term, with the current retaliatory attacks between the world powers capping any significant gains for the tech-heavy index.

NDX 4-Hour Chart

Nasdaq 100 (NDX) Value Forecast — September 8

NDX Major Bias: Bearish

Supply Levels: 11890, 12000, and 12330.

Demand Levels: 11307, 11160, and 11000.

The NDX continued on its retreat from its recent all-time high (12439.5) for its third consecutive day yesterday. The index appeared to have found bullish support at the 11160 support level, which facilitated a strong bounce for it after it approached that level on Friday. The bounce helped the index get back into the 7-month old ascending channel.

At press time, the NDX is faced with the 11890 strong resistance. Given the current issues surrounding the markets, it doesn’t seem likely that the index will comfortably break above this line in the near-term.

Note: Learn2.Trade is not a financial advisor. Do your research before investing your funds in any financial asset or presented product or event. We are not responsible for your investing results

  • Broker
  • Benefits
  • Min Deposit
  • Score
  • Visit Broker
  • 20% welcome bonus of upto $10,000
  • Minimum deposit $100
  • Verify your account before the bonus is credited
$100 Min Deposit
  • Award-winning Cryptocurrency trading platform
  • $100 minimum deposit,
  • FCA & Cysec regulated
$100 Min Deposit
  • Over 100 different financial products
  • Invest from as little as $10
  • Same-day withdrawal is possible
$100 Min Deposit
  • Award-winning Cryptocurrency trading platform
  • 14 Cryptoassets available to invest in
  • FCA & Cysec regulated
$200 Min Deposit

Highly volatile unregulated investment products. No EU investor protection.

  • Trade top Cryptos such as Bitcoin, Litecoin and Ethereum plus more
  • Zero commissions and no bank fees on transactions
  • Around the clock service with support in 14 languages
$100 Min Deposit
  • The Lowest Trading Costs
  • 50% Welcome Bonus
  • Award-winning 24 Hour Support
$200 Min Deposit
  • Fund Moneta Markets account with a minimum of $250
  • Opt in using the form to claim your 50% deposit bonus
$250 Min Deposit
Share with other traders!

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.