^NDX Today, January 24: Trump Tariff Backdown Sparks Tech Rebound
The Nasdaq index is bouncing after a Trump tariff retreat eased fears around new duties on the EU and Greenland-linked trade. Tech bid returned as policy risks cooled, helping the Nasdaq-100 (^NDX) claw back recent losses. We break down today’s levels, momentum signals, and what this means for Australian investors. We also outline ways to use Nasdaq futures and simple currency hedges to manage market volatility and protect returns in AUD.
What a Trump tariff retreat means for tech
A quick backdown on tariffs removed a major overhang, lifting risk appetite across large-cap tech. The Nasdaq index tends to react fastest when headline risk falls, and today is no different. Australia-focused traders have rotated back into growth, while staying mindful that policy flip-flops can return. Local coverage highlights how traders looked beyond the US for resilience, reinforcing the trend toward diversification source.
Relief rallies fade if earnings or guidance disappoint. For the Nasdaq index, margin commentary, AI capex, and cloud growth remain the real drivers. We prefer focusing on cash flow and backlog rather than daily noise. Australian portfolios can tilt toward quality balance sheets and recurring revenue. That mix tends to cushion market volatility if policy headlines swing again, keeping risk in check while staying invested.
Intraday snapshot and technical picture
At the latest print, the Nasdaq-100 sits near 25,518, up about 0.76% (+192). Session range: 25,399 to 25,577. It trades above its 50-day average (25,312) and well above the 200-day (23,303), but below the 26,182 year high. Bollinger bands show 24,840 to 25,947. We view 25,300 as first support and 25,950 as resistance. A close above 26,000 would strengthen the bull case.
RSI is 57.9, showing steady momentum, while ADX at 13.6 signals no strong trend. CCI above 100 and stochastic in the 80s imply near-term overbought, so pullbacks are possible. ATR near 310 points flags elevated market volatility. Money Flow Index at 70 leans risk-on. For the Nasdaq index, constructive momentum with contained breadth supports a buy-the-dip mindset, but position sizes should stay disciplined.
Flows for Australian investors
We see renewed interest in local tech and US exposure via ASX-listed ETFs, including Nasdaq 100 trackers. The Nasdaq index rebound often boosts NDQ and similar vehicles. Liquidity and management costs matter when choosing funds. For direct shares, many investors pair US mega-cap tech with ASX growth names to smooth sector risk and rebalance when spreads widen.
AUD moves can swing outcomes. When the Aussie rises, unhedged US exposure may lag for locals. Simple rules help: if you expect AUD strength, consider a currency-hedged sleeve; if you expect weakness, unhedged can add tailwind. Keep hedges flexible and small. For the Nasdaq index, a 25%–50% hedge ratio can balance tracking error and costs for longer-term investors.
Strategy ideas and near-term catalysts
With policy risk flipping fast, traders have leaned into non-US themes to steady returns. Local reports note how “Team TACO” and now “TUNA” gained as the White House folded on tariffs, pushing capital to alternative markets source. For Australians, mixing the Nasdaq index with Asia or Europe exposure can cushion shocks and reduce single-market drawdowns.
Nasdaq futures are a useful early gauge for direction and gap risk before cash open. We track them alongside mega-cap earnings, CPI prints, jobs data, and central bank remarks. For the Nasdaq index, alignment between futures, breadth, and volatility often marks better entry points. Set alerts around key levels, keep stops practical, and scale entries rather than going all-in at once.
Final Thoughts
Today’s rebound shows how quickly the Nasdaq index can reset when major policy threats recede. Yet the bigger drivers remain earnings quality, cash flow strength, and the path of AI and cloud investment. For Australian investors, pairing US tech exposure with selective Asia or Europe funds can smooth returns. Consider simple AUD hedging rules to reduce currency noise, and watch Nasdaq futures for early read-through on market volatility. Action plan: define support and resistance, size positions modestly, and add on weakness into strong fundamentals. Sticking to a rules-based process beats chasing every headline.
FAQs
Why did the Nasdaq index rebound today?
A Trump tariff retreat removed a major overhang, lifting risk appetite for large-cap tech and growth. With policy risk dialed down, investors refocused on earnings, cash flow, and AI-related demand. The rebound reflects improved sentiment, but the market remains sensitive to fresh headlines and data, so risk controls still matter.
How should Australian investors play this move?
Blend US tech exposure with a small allocation to Asia or Europe to reduce single-market risk. Use a simple AUD hedge ratio if currency swings worry you. For the Nasdaq index, add on dips toward support levels, and scale into positions rather than buying all at once to manage volatility.
What technical levels matter right now?
Key reference points include 25,300 as first support and 25,950 as resistance, with the 50-day average near 25,312 and the year high around 26,182. For the Nasdaq index, an upside break and close above 26,000 would strengthen momentum, while a drop below the 50-day would warn of fading breadth.
Should I watch Nasdaq futures before trading?
Yes. Nasdaq futures provide an early read on sentiment and gap risk before the cash session. They also help gauge reactions to earnings and macro data. Combine futures signals with levels, breadth, and volatility to refine entries on the Nasdaq index and to avoid chasing moves sparked by short-lived headlines.
Disclaimer:
The content shared by Meyka AI PTY LTD is solely for research and informational purposes. Meyka is not a financial advisory service, and the information provided should not be considered investment or trading advice.
