Nasdaq 100 comes off record high, as EUR/USD rallies further and WTI nears key support
The Nasdaq 100 comes off this week’s and last week’s record high amid a US government shutdown as EUR/USD is on track for its fourth straight day of gains and WTI nears a key technical support zone.
Macro update
Wall Street finishes higher: The Dow Jones climbed 0.18%, the S&P 500 advanced 0.41%, and the Nasdaq 100 gained 0.31%, with all three benchmarks closing the month and quarter in positive territory.
Quarterly and monthly performance: The S&P 500 rose 7.8% in the third quarter (Q3) and 3.5% in September, marking its strongest September since 2010. The Nasdaq outperformed, jumping 11.2% over the quarter and 5.6% during the month.
Government shutdown concerns: Investors remained cautious as a looming US government shutdown threatened to delay key economic data, including the jobs report, complicating the Federal Reserve’s (Fed) policy path.
Asian market session: Japan’s Nikkei 225 dropped 1% and US futures slipped, while gold hit a new record high as the US government shutdown officially took effect.
Nasdaq 100 comes off record high
The Nasdaq 100's attempt at hitting a new record high failed slightly below it at 24,741 on Monday.
The September-to-October uptrend line at 24,482 may be revisited and, if fallen through, the mid-September high at 24,343 as well.
Only a rise above this week's 24,741 and last week's 24,781 record high would engage the 25,000 region.
Nasdaq 100 daily candlestick chart
EUR/USD rallies further
EUR/USD seems to be on track for its fourth straight day of gains with the late July and 9 September highs at $1.1780-to-$1.1789 about to be hit. If overcome, last week's high at $1.1820 would be next in line.
Minor support may be spotted around the 22 September low at $1.1727.
EUR/USD daily candlestick chart
WTI slips toward key support
WTI crude oil is once again approaching its key $61.94-to-$61.45 support zone, made up of the mid-August-to-October lows.
Were it to give way, the mid-April-to-late May support area at $60.11-to-$59.84 may be reached.
Minor resistance now sits at the 27 August low at $62.95.
WTI daily candlestick chart
Important to know
This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.
Connect with us
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work and whether you can afford to take the high risk of losing your money.
Professional clients trading spread bets and CFDs can lose more than they deposit.
Options and futures are complex instruments which come with a high risk of losing money rapidly due to leverage. They’re not suitable for most investors. Before you invest, you should consider whether you understand how options and futures work, the risks of trading these instruments and whether you can afford to lose more than your original investment.
Trading stocks and shares ‘on margin’ within a US options and futures account – meaning that you only finance part of the cost of acquiring a position in a security – carries additional risks over buying securities on a fully funded basis and may result in losses exceeding your original investment. Trading on margin will also result in additional costs to you as the investor and any securities purchased using margin may be held as collateral by the lender, restricting both your rights as shareholder, and your ability to use the securities until the margin trade is closed. You should familiarise yourself with these risks before trading on margin.
The value of shares, ETFs and other ETPs bought through a share dealing account, a US options and futures account, a stocks and shares ISA or a SIPP can fall as well as rise, which could mean getting back less than you originally put in. Past performance is no guarantee of future results. Some ETPs carry additional risks depending on how they’re structured, investors should ensure they familiarise themselves with the differences before investing.
Share dealing and IG Smart Portfolio accounts provided by IG Trading and Investments Ltd, CFD accounts and US options and futures accounts are provided by IG Markets Ltd, spread betting provided by IG Index Ltd.
IG is a trading name of IG Trading and Investments Ltd (a company registered in England and Wales under number 11628764), IG Markets Ltd (a company registered in England and Wales under number 04008957) and IG Index Ltd (a company registered in England and Wales under number 01190902). Registered address at Cannon Bridge House, 25 Dowgate Hill, London EC4R 2YA. IG Markets Ltd (Register number 195355), IG Trading and Investments Ltd (Register Number 944492) and IG Index Ltd (Register number 114059) are authorised and regulated by the Financial Conduct Authority.
The information on this site isn’t directed at residents of the United States, Belgium or any particular country outside the UK and isn’t intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.
