US stock markets stumbled out of the gate to start this week’s trade after a lack of progress on the US-China trade negotiation front this weekend and fresh concerns around Boeing’s prospects.
Among the major US indices, the tech-heavy Nasdaq Composite is performing best. The index remains solidly in the middle of its rising channel, within about 2.5% of last year’s record high near 8135. Despite a staggering 27% rally off the Christmas Even low, the RSI indicator remains in a bullish configuration and is oscillating in and out of bullish overbought reading.
Source: TradingView, FOREX.com
Beyond traditional macroeconomic data and ongoing US-China trade headlines, fundamental traders will soon turn their attention toward Q1 earnings reports later this month. All the FAAMG stocks (Facebook, Amazon, Apple, Microsoft, and Google) report in the final week of April, and the performance of those megacap technology names may determine whether the Nasdaq’s long-term uptrend is extended with another break to new all-time highs.