Nasdaq 100 and the January Barometer

Earlier today an update on the Dow Jones looked at a field of study known as the ‘January Barometer’. To add more colour on that; it is the study of price action across the US stock markets (more usually the S+P 500) in the first month of any new year, concerning the price action in January as potentially determining where the index will close by the end of that year. It states that a gain in January more often than not delivers a gain on the year as a whole and vice versa of course too. So, seeing as the major part of the US stock market gains in 2024 were led by just 7 stocks and all of them tech based, we are looking at the January Barometer in this case, specifically in respect to the Nasdaq 100. Of course it is way too early to say where the Nasdaq might end the month, but the start of the year was certainly not especially positive. The Nasdaq 100 opened higher yesterday, at 21,120 and then reached a session high at 21,236. The subsequent slide saw it fall to 20,800 (led by Tesla, which later closed 6.08% lower). The index did rebound off that low, but still closed below 21k, at 20,975. It is right now priced to rebound on the opening today though, currently around 21,075