Nasdaq 100 forecast: PayPal, Square, Roku, Carvana, earnings in focus

Summary:

In this Nasdaq 100 index, we explain what to expect ahead of the important PayPal, Square, Roku, Carvana, and Alibaba earnings later this week

The Nasdaq 100 index rally is accelerating in the futures market as the market continues to focus on corporate earnings. It is up by 0.30% and trading at $13,888. Similarly, the Dow Jones and S&P 500 index have risen by more than 0.50%.

Nasdaq 100 news: There will be two main catalysts for the Nasdaq 100 this week. First, investors will keep focusing on the earnings season. Most of the important companies in the United States like Facebook, Microsoft, and Apple have already reported strong earnings.

According to FactSet, 60% of all companies in the S&P 500 have already published their quarterly results. Of these, more than 80% have beaten analysts’ forecasts. Indeed, this is the best performance since FactSet started tracking the data.

This week, the Nasdaq 100 will react to earnings by companies like Alibaba, Pfizer, CVS Health, Activison Blizzard, PayPal, Booking, General Motors, Twilio, Square, Roku, Carvana, and Athene Entreprises, among others.

The Nasdaq 100 index will also react to the latest non-farm payroll numbers that will come out on Friday. These are important numbers because they will have an impact on monetary policy.

Nasdaq 100 technical forecast

The Nasdaq 100 index has been on a strong upward rally recently. In fact, it is sitting at its all-time high. On the daily chart, we see that it has formed an ascending triangle pattern, which is usually a bullish factor. The index is also being supported by the 25-day and 50-day exponential moving averages.

Therefore, in my view, I expect that the Nasdaq 100 index will keep rising as bulls target the next key resistance at $14,200. However, a move below $13,500 will invalidate this trend.