Nasdaq 100 Outlook: Can Tech Stocks Resume Higher?

Author: Fawad Razaqzada, Market Analyst

Date: February 19, 2026

Market Overview

US Index futures experienced a decline overnight, influenced by a drop in European shares following disappointing earnings results. In the US, the dollar showed signs of recovery after the release of mostly positive economic data. Minutes from the Federal Open Market Committee (FOMC) meeting indicated that policymakers are increasingly concerned about inflation, which has affected market sentiment and reduced expectations for imminent interest rate cuts.

Current Sentiment and Technical Analysis

The overall trend for US and global stocks remains bullish, despite recent underperformance compared to European indices. The Nasdaq 100 has not yet shown signs of a bearish trend, as it has maintained key support levels, particularly around the 24,400 zone. This level has historically triggered significant rallies, and a recent bullish engulfing candle formed on February 6 suggests potential for upward movement.

Key Technical Levels

The Nasdaq 100 is currently in a neutral position, needing a breakout above the 25,000 resistance level to reinforce bullish sentiment. A close above this level would signal further technical buying momentum. Conversely, near-term support is identified at 24,650, which must hold to maintain the bullish structure. If this support fails, the focus may shift back to the 24,400 level.

Economic Indicators and Future Outlook

Recent economic data has shown strength, reducing immediate concerns over employment and the necessity for rate cuts. Upcoming releases, including jobless claims and the Philadelphia Fed manufacturing index, will be critical in shaping market expectations. The core PCE release on Friday will also be pivotal in determining the trajectory of inflation and potential interest rate adjustments.

Conclusion

Overall, the outlook for the Nasdaq 100 remains slightly positive, with the potential for a bullish trend if key resistance levels are breached. Market participants are advised to monitor economic indicators closely, as they will play a significant role in shaping future market movements.