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The Nasdaq-100 Rebounds After a Brutal January: What Does the Chart Say?

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The Nasdaq-100 has rebounded following a sharp drop. It’s a good time to consider where things stand with the tech-heavy index.

First, Wednesday’s close represented almost exactly a 50 percent retracement of the decline from December 28 through January 24.

Second, consider that it halted at the January 10 low. Will this old support become new resistance?

Next, the level was also near the …

For more, please click here to view the related idea and chart analysis on TradingView.

Nasdaq-100, daily chart with selected patterns and indicators, courtesy of TradingView.

About the author

David Russell is VP of Market Intelligence at TradeStation Group. Drawing on two decades of experience as a financial journalist and analyst, his background includes equities, emerging markets, fixed-income and derivatives. He previously worked at Bloomberg News, CNBC and E*TRADE Financial. Russell systematically reviews countless global financial headlines and indicators in search of broad tradable trends that present opportunities repeatedly over time. Customers can expect him to keep them apprised of sector leadership, relative strength and the big stories – especially those overlooked by other commentators. He’s also a big fan of generating leverage with options to limit capital at risk.