Nasdaq 100 Consolidates Ahead of Major Market Leader Earnings Reports

This week, five companies with market capitalisations exceeding $1 trillion are set to release their quarterly earnings:

→ Alphabet (GOOGL) on October 29
→ Microsoft (MSFT) on October 30
→ Meta Platforms (META) on October 30
→ Apple (AAPL) on October 31
→ Amazon (AMZN) on October 31

These results and profit forecasts from leading tech giants could fuel momentum for the Nasdaq 100 (US Tech 100 mini on FXOpen).

For now, technical analysis of the Nasdaq 100 (US Tech 100 mini on FXOpen) chart suggests the index is in a state of consolidation. Supporting this view:

→ The blue upward channel, based on key 2024 reversals (marked with bold lines), shows price movement near the channel median, indicating a potential balance between supply and demand.

→ A narrowing triangle formation (highlighted by purple lines, with the upper line aligning with the psychological level of 20,500) reflects a reduction in volatility, signalling consolidation in anticipation of the earnings releases.

→ A decline in the ATR indicator, reaching its lowest in approximately 3.5 months, also suggests subdued market activity.

If these tech earnings surprise to the upside, it’s possible the Nasdaq 100 (US Tech 100 mini on FXOpen) could break out of the purple triangle, setting its sights on a fresh all-time high, surpassing the previous peak from July 11.