Nasdaq 100 Index in a Descending Channel – What’s Next?

The Nasdaq 100 Index is currently trading within a descending channel, indicating a downtrend. The current price is around $20,784.72, near the lower boundary of the channel. For the market to reverse, the price needs to break above the upper boundary of the channel, signaling a potential shift to an uptrend.

🚩 What Needs to Happen for the Market to Go Up?
1️⃣ Break Above the Upper Boundary: A breakout above the upper boundary would suggest a bullish reversal. The first resistance level above the upper boundary is around $21,629. If the price clears this level, the next major resistance could be at $22,000.
2️⃣ Volume Confirmation: A strong buying volume should support any move above resistance to confirm the breakout.
3️⃣ Positive Catalysts: Favorable news or economic data could provide the needed push to break through the upper boundary.

⚠️ If the Lower Boundary Breaks…
If the price falls below the lower boundary, the next support level is near $20,383. If the price breaks through this, the next potential support is around $19,630.

📊 Key Takeaway:
Watch for a breakout above the upper boundary, with $21,629 and $22,000 as potential resistance levels, or a breakdown below the lower boundary, with $20,383 and $19,630 as key support levels. Where do you think the market is headed? Share your thoughts!