The Nasdaq 100 maintained its upward trajectory at the start of the week, with the technology-focused index advancing 0.13% in premarket trading as it continued its record-setting performance. The significant 25,000-point level now appears within reach for the benchmark.
Market sentiment has turned positive again following Friday’s session, when the index declined 0.43% to close at 24,785 points. During early trading activity, the Nasdaq 100 reached an intraday peak of 24,934 points, positioning it just steps away from the psychologically important 25,000 milestone.
Market Dynamics and Sector Performance
Technology shares, particularly semiconductor and artificial intelligence companies, are providing renewed momentum to the index. Market attention remains focused on Nvidia and AMD, both of which generated substantial investor enthusiasm throughout the previous week.
However, not all major technology constituents participated in the positive movement. Several members of the so-called “Magnificent Seven” faced challenges during Friday’s session, with Meta Platforms, Tesla, and Amazon all finishing in negative territory. Palantir Technologies experienced particularly sharp declines, plummeting more than 7% following reports concerning security vulnerabilities in its communication systems.
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Technical Outlook and Market Indicators
From a technical perspective, the Nasdaq 100 continues to demonstrate a well-defined upward trend. The Relative Strength Index reading above 70 indicates strong bullish momentum, though it also suggests the potential for overbought conditions.
Critical support levels are currently positioned at 24,750 points, with additional support emerging in the 24,350 to 24,500 point range. To the upside, market participants are watching the resistance barrier at 25,000 points.
Monetary Policy Influences
Expectations regarding the Federal Reserve’s interest rate policy are providing additional support to equity markets. The yield on the 10-year US Treasury note settled at 4.13% on Friday. A softening US dollar index is further benefiting the multinational corporations that comprise significant components of the Nasdaq 100.
Market volatility, as measured by the VIX index, stands at 16.65 points, reflecting generally calm market conditions despite a slight increase in premarket trading that indicates some degree of investor caution.
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