EARN25

The Nasdaq "Super Round Number" Nobody's Watching

With tech stocks leading the charge so far in 2017, traders should keep an eye on Naz 100 at the 5,000 level

Editor-in-Chief
Jan 10, 2017 at 8:43 AM
facebook X logo linkedin


Though rarely mentioned in the financial media -- as compared to the focus on the PowerShares QQQ Trust (QQQ) and the Nasdaq Composite (COMP) -- the Nasdaq-100 Index (NDX) is the base index for QQQ, and is also the primary vehicle for futures trading on the Nasdaq.

Per the daily, hourly, and monthly chart views of the Naz 100 below, it failed in the final week of 2016 to overtake its March 2000 all-time high of 5,003 -- peaking in December at 4,994.50, and closing out the calendar year at 4,862.25. (Note that these values are those for the front-month Naz 100 futures -- so they can differ some from "cash" Naz 100, and the highs and lows may be reflective of trading in so-called "after-hours.")

On Friday, however, as CNBC issued "Breaking News" updates on the Dow's near-miss of 20,000, the Naz 100 futures quietly traded as high as 5,017.50 before closing at 5,004.75.

And it remains to be seen if 5,000 as "super round number" for Naz 100 will prove to be of greater import than the always-prominent Dow 20,000 -- but in the meantime, it seems pretty safe to say that, comparatively, "Naz 5,000" is being closely followed by next to no one.

ndx daily 0106

ndx hourly 0106

ndx monthly 0106



Subscribers to Bernie Schaeffer's Chart of the Week received this commentary on Sunday morning. Sign up for this free weekly newsletter to get exclusive early access to Bernie's latest research.
 

You Don’t Need 25 Alerts -- You Need ONE You Can Trust!

That’s the idea behind Trade of the Week, Schaeffer’s newest trade alert.

Every Monday morning before the opening bell, you’ll receive a single, expertly researched trade recommendation -- built from the same proprietary research we’ve been using for over four decades.

It’s not just a signal.

It’s a plan designed for traders who are tired of jumping from alert to alert without ever finding their edge.

No juggling alerts. No switching directions mid-week. Just one clear, expertly researched trade idea -- delivered before the market even opens.

👉 JOIN RIGHT NOW FOR JUST $1 TO GET THE NEXT TRADE!