Nasdaq Composite tests 23,500 resistance for third straight day ahead of weekly jobs data

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Nasdaq Composite tests 23,500 resistance

Highlights

Nasdaq holds firm near 23,500 as traders await jobless claims to confirm breakout direction.
RSI and EMA alignment show buyers still dominate while supply zone caps near-term upside.
Softer ADP and ISM data lift Fed cut hopes, supporting Nasdaq’s early-December momentum.

The index has held a firm upward bias since the week opened and has attempted for a third straight day to push beyond the 23,500 barrier, although progress has been slowed by a clear supply zone between 23,650 and 23,500. That region has capped every attempt to extend gains and has forced a consolidation just above the week's opening level as traders assess whether momentum is strong enough to force a breakout.

Yesterday’s rebound from the week opening price aligned with macro drivers, which caused the U.S. Dollar index to decline after the ADP report showed a drop of 32,000 private sector jobs for November. The ISM survey strengthened the reaction by pointing to easing inflation pressures, which boosted expectations that the Federal Reserve could announce a rate cut next week. Those developments weakened the Greenback and improved risk appetite across equity markets, which helped the Nasdaq recover intraday losses and retest the supply zone at the top of the recent range.

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

Today’s pre-market trade shows the index moving sideways near 23,500 as volatility contracts. There is no clear swing high or swing low yet, although performance still shows gains on the week and for the start of December, which signals that buyers are defending recent progress even as the market pauses near resistance.

RSI and EMA alignment confirm strong bullish bias amid current consolidation

Technical readings reinforce the trend bias as both the daily and 4-hour relative strength index sit firmly in bullish territory and have not reached overbought levels. The alignment of the 20, 50, and 100 EMAs on both timeframes also reflects strong trend structure because the averages have now tilted upward in unison.

A breakout above the supply zone remains possible if bullish momentum strengthens during the coming sessions. The broader context points to a market that is waiting for fresh guidance, and that guidance arrives through another key labour data release today. Initial Jobless Claims is forecast at 219k compared to the previous reading at 216k. A result below forecast tends to be supportive for the dollar, which may pressure equities, while a higher number may strengthen the case for rate cuts and help push the Nasdaq toward a four-week high above 23,600.

The combination of constructive technicals and sensitive macro conditions places the index at an important decision point. Any signal that supports easing policy could give buyers the momentum needed to force a clean break through resistance and extend the strong start to the month.

In recent analysis, we discussed how the Nasdaq Composite held near a four-week high ahead of key ADP and ISM data. Futures consolidated above 23,530 as buyers maintained control of the short-term structure.

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