Nasdaq 100 comes off Thursday’s high
The Nasdaq 100 is expected to remain below its four-month high at 21,611 on the last trading day of the month and may slip further over the coming days since this high has been accompanied by a lower high on the daily Relative Strength Index (RSI). It thus shows negative divergence which in most cases leads to at least a short-term correction against the prevailing trend.
The previous 21,464-to-21,483 resistance area, made up of the last couple of weeks’ highs, may cap on Friday.
A slip through Thursday’s 21,261 low may put the 3 March high at 21,074 back on the plate. If slipped through last week’s low and the April-to-May uptrend line at 20,778-to-20,734 may be revisited as well. Failure there would probably engage the 200-day SMA at 20,351.
Further down lie the 21,073-to-20,975 late January-to-early March daily lows which may also offer support.
Were Thursday’s high at 21,611 to be exceeded, the early January high at 21,703 would be eyed.