NASDAQ traders face challenges as the index remains below its 100-day moving average, previously breached this week. A bearish sentiment is evident as the market grapples with support and resistance levels.

Key technical levels include a resistance point at the 100-day moving average of 19,233.42. A break above this level may indicate a change in buyer momentum.

The support level at 18,832.20 has provided solid backing this week, encouraging dip buyers. The price action between these two significant levels suggests that a breakout, either above 19,233.42 or below 18,832.20, will largely influence the market’s next move. Traders should monitor these conditions closely.

Examining the market fluctuations over the past several sessions, it’s clear that traders are navigating a period of uncertainty. With the index unable to reclaim its 100-day moving average, sellers maintain the upper hand for now. A failed attempt to push beyond this figure earlier in the week only reinforced hesitation among buyers, leaving the broader direction unresolved.

The fact that 18,832.20 has held firm as a support level offers some optimism for those looking to build long positions. Every bounce from this mark has seen a flurry of buying interest, though conviction remains weak as bulls struggle to generate meaningful follow-through. On the other end of the spectrum, the 100-day moving average continues to act as a ceiling, capping advances and keeping market sentiment from shifting decisively in favour of buyers. Until one of these levels gives way, price action is likely to remain choppy, making short-term plays attractive for many.

There is little doubt that momentum traders are paying close attention to any move outside this defined range. A close above 19,233.42 wouldn’t just signal stronger buying pressure but would also put past resistance points into play once again. That kind of move could force short positions to cover, feeding into a sharper uptrend. In contrast, a drop below 18,832.20 may quickly invite another wave of selling, as stops placed beneath this mark get triggered.

Beyond these technical markers, sentiment could be swayed by macroeconomic developments or earnings data from key companies. Any external factor strong enough to push price action beyond its current bounds could set the tone going forward. Meanwhile, those focused on short-term trades might continue to find opportunities as long as the current range holds. It remains a market that demands patience, discipline, and a sharp eye on levels that have proven their importance repeatedly over the past week.