Nasdaq flat ahead of the FOMC decision

16/06/2021

Markets have been calm so far on Wednesday, and the Nasdaq 100 index was trading without any daily change ahead of the US session, hovering modestly above the 14,000 USD level.

The index is now retesting previous highs, and as long it remains above them, the short-term outlook seems bullish, while the long-term uptrend remains intact and confirmed. 

Should the Fed sound dovish today, which is largely expected, we could see another leg higher to new all-time highs. The initial resistance is at yesterday's top of 14,160 USD, and if broken to the upside, the Nasdaq might continue toward 14,500 USD.

Alternatively, if the Fed disappoints today, the first support seems to be at 14,000 USD, followed by the 8-day EMA at 13,950 USD.

Another demand zone will most likely be at the short-term uptrend line, currently near 13,800 USD, where the 21-day EMA is also located. 

Volatility is expected to be elevated after the Fed's decision, but the long-term trend remains bullish as of now.
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