Nasdaq Composite rises 180 points premarket as bulls defend 100 EMA support

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100 EMA support lifts the Nasdaq index

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Sholanke Dele

16.01.2026

Nasdaq Composite rises 180 points premarket as bulls defend 100 EMA support — Nasdaq rebounds 0.7% premarket

The Nasdaq Composite Index is attempting to recover in Friday’s premarket session, rising 0.7% or 180 points from Thursday’s close of 23,530. This comes after a volatile midweek stretch where the index bounced from an eight-day low of 23,300 to a Thursday high of 23,725 before fading into the close.

Highlights

Nasdaq rebounds 0.7% premarket after bouncing off Thursday's low, supported by 100 EMA
Strong jobless claims print resets Fed rate expectations, dragging sentiment late Thursday
RSI holds bullish territory, but 23,800 retest depends on persisting economic indicators

The recovery earlier in the week followed a calming statement from President Trump, who clarified that he does not intend to replace Federal Reserve Chair Jerome Powell. That statement helped restore investor confidence and spurred risk appetite across major tech names.

However, that sentiment faded late Thursday. The index’s failure to sustain traction near the 23,800 level reflected renewed macroeconomic concerns. A wave of upbeat U.S. economic data led investors to scale back their expectations for imminent rate cuts. Jobless claims for the week ending January 10 dropped to 198K, sharply lower than the consensus estimate of 215K and also beneath the previous revised figure of 207K. This strong labor print added to a sequence of resilient data that has continued to challenge the market’s dovish bias on policy.

Nasdaq Composite price chart (Dec 2025 -Jan 2026). Source: Tradingview

Rate expectations have now materially shifted. According to the CME FedWatch Tool, the probability that the Federal Reserve will hold rates steady in April has surged to 67%, up from 37% one month ago. The pricing for June is also adjusting in real time, now at 37.5%, compared to 17% previously. This repricing of the Fed outlook pressured rate-sensitive growth stocks and contributed to Thursday’s fade in the Nasdaq.

Steady economic momentum challenges hawkish sentiment

Despite that rate-cut pushback, analysts say supportive trade policy tones and steady economic momentum may offer a counterweight. These factors have helped keep equity indices broadly bid despite shifting rate expectations. Technically, the one-hour chart shows that the 100 EMA cushioned Thursday’s decline and helped anchor the current bounce. That level continues to function as an active support line, providing a foundation for intraday rebounds.

RSI stays above 50 as bulls look to reclaim 23,800 before the weekend

Momentum studies also support the rebound narrative. The daily RSI is still lodged in bullish territory, holding firm above the 50 neutral line. This suggests that despite Thursday’s pullback, bullish control on a broader time frame has not been fully lost. The question now is whether this technical structure holds through Friday’s session.

If bullish pressure continues and economic headlines do not derail sentiment, the Nasdaq Composite Index may retest Thursday’s peak at 23,700 and attempt to push beyond 23,800 before the close. Failure to do so could see premarket gains unwound and a fresh breakdown below the 100 EMA on the one-hour chart. That scenario could expose the index to downside pressures towards 23,400, a level supported by a rising trendline tracking the gradual 2026 uptrend.

In a recent analysis, we discussed how the Nasdaq Composite rebounded 230 points after dipping to an eight-day low near 23,300. The bounce followed a sharp selloff that briefly broke the lower boundary of its rising wedge structure.

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