Nasdaq Composite holds near four-week high ahead of ADP and ISM data

Traders Union
All News
Financial News
Nasdaq Composite holds near four-week high

Highlights

- Nasdaq trades near 23,570 as Fed leadership speculation and easing hopes support sentiment.

- Markets watch ADP and ISM reports for signals on policy and growth momentum.

- Nasdaq index stays bullish above 23,000 support, while buyers target a retest of 24,000.

Higher expectations for near-term monetary easing have provided a strong macro backdrop for Nasdaq strength. Markets are gradually pricing in a more dovish trajectory for the United States rate path. Nearly ninety basis points of easing are expected by the end of 2026 as traders evaluate the possibility that White House economic adviser Kevin Hassett could replace Federal Reserve Chair Jerome Powell next year. President Donald Trump has indicated that his nominee will be announced early next year and that the selection has narrowed to a single candidate. A leadership shift at the Federal Reserve carries the potential to shape medium-term policy expectations and has helped sustain positive sentiment.

Nasdaq price dynamic (Nov - Dec 2025). Source: Tradingview

Short-term volatility today will revolve around incoming employment and services sector data. The ADP national employment report is projected to show 5,000 jobs added in November, compared to 42,000 previously. A result that exceeds the forecast would indicate stronger labor conditions, which would typically lift the dollar and weigh on the Nasdaq due to reduced expectations for aggressive easing. The ISM Services PMI carries a forecast of 52.0 compared to the prior 52.4 reading. A print above the forecast signals stronger economic activity and tends to pressure United States equities as it suggests less urgency for policy easing.

Nasdaq uptrend structure stays firm as the 1-hour chart EMAs provide near-term support

The technical structure on the one-hour chart strengthens the bullish case for now. The 20, 50, and 100 EMA have all risen above the 23,000 psychological level and are aligned neatly in ascending order. This arrangement confirms 23,000 as a near-term support zone. A break below those EMA, which now sit above the psychological threshold, would indicate a shift toward short-term bearish control. As long as price stays above those moving averages, the broader bias favors continuation toward the all-time high at 24,000.

From the current premarket level, the Nasdaq Composite index sits only 2.2% away from that all-time high, which highlights the strength of the rebound from the valuation-driven downturn that dominated most of November.

In recent analysis, we discussed how the Nasdaq Composite regained its bullish tone as manufacturing data revived rate-cut optimism. The index rebounded despite AI debt raising concerns over growth sustainability.

This material may contain third-party opinions, none of the data and information on this webpage constitutes investment advice according to our Disclaimer. While we adhere to strict Editorial Integrity, this post may contain references to products from our partners.