Nasdaq: Will March Swing Lows Hold?

Published 2025-04-02, 12:30 a/m

I had kind of written them off as support, but March lows are holding up better than I thought they would. I have marked in the updated measured move targets for the various indices derived from the weekly charts, but these will be negated on a move above the March swing highs.

The Nasdaq has registered two higher volume distribution days in the past four, with the MACD clinging on to its earlier ’buy’ trigger. Tuesday’s buying recovered the break of the March low, with the next challenge being the 20-day MA. The index is a relative performance tussle with the Russell 2000 ($IWM) that it’s currently winning.

Nasdaq Composite-Daily Chart

The S&P 500 hadn’t undercut its March low, but it did manage to rally to its 20-day MA. It’s in a more bullish position than the Nasdaq with fresh ’buy’ triggers for On-Balance-Volume and MACD. It still has lots of work to do, but at this stage, it is considered in ’neutral’ territory.

SPX Index-Daily Chart

The Russell 2000 (IWM) is nearer the Nasdaq in not having fully recovered from the March swing low. It trades below its 20-day MA but is not far from challenging. It has a MACD trigger ’buy, ’ but other technicals are bearish.IWM-Daily Chart

Today’s Trump Tariff announcement has garnered more attention than it deserves; tariffs are bad, and the market has already priced it in - deal with it. The concern is the ongoing bearish momentum that has been running since February highs that has managed to undercut 200-day MAs. Markets are in need of a (lengthy) period below its 200-day MA that will help build the basis for the next cyclical bull market.

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