NQ100 testing highs again after 1st choppy retracement

💡 DMK Insight

The Nasdaq’s recent 1000-point drop signals a potential shift in market sentiment. After hitting an all-time high in May, the index’s struggle to maintain upward momentum suggests traders should be cautious. A slowing uptrend on the daily chart could indicate that buyers are losing conviction, which might lead to further corrections. If the index fails to hold key support levels, it could trigger a wave of selling, impacting related assets like tech stocks and ETFs. Keep an eye on the 13,000 level; a breach could signal a more significant downturn. On the flip side, if buyers step in decisively, it might set the stage for a rebound, but that seems less likely given the current trend. Watch for volume spikes or news catalysts that could sway sentiment in either direction.