Stock Markets Rise Amid USChina Trade Deal Progress
As the chart shows, the Nasdaq 100 index (US Tech 100 mini on FXOpen) formed a bullish gap at Mondays market open and, as of this morning, is trading at its highest level since early March.
This is driven by the announcement from the Trump administration of progress in securing a trade deal with China, following weekend negotiations held in Switzerland. Treasury Secretary Scott Bessent described the two-day talks with Chinese officials in Geneva as productive, adding that more detailed information would be shared on Monday.
As a reminder, the US imposed tariffs of 145% on Chinese goods, to which Beijing responded with a 125% levy on American imports.
Technical Analysis of the E-mini Nasdaq 100 Chart
The chart is showing bullish signals:
The downward trendline (shown in orange) was broken around the 19,666 level, which has since acted as support (indicated by the blue arrow).
Today, the Nasdaq 100 has moved above last weeks resistance near the 20,175 level.
Market fluctuations are forming an upward channel (shown in blue) from the April lows, with the price currently sitting in the upper half of the channeltypically a sign of strong buying pressure.
Further updates on the USChina trade deal may reveal key details, potentially reinforcing the current bullish sentiment in the equity markets.
Read more: https://fxopen.com/blog/en/oa-stock-markets-rise-amid-us-china-trade-deal-progress/
Text source: Forex Trading Blog
