As of March 15, 2021, the Nasdaq 100 is reaching an all-time high, raising the question of whether a pullback could be imminent.
The Nasdaq has been on a steady climb since the coronavirus selloff in March 2020, with the index now up about 72% since. This growth has been driven mainly by technology stocks, which have been outperforming the broader markets, and high-growth stocks have been on an incredible run.
Analysts are predicting that this increase in the stock market could lead to a pullback in the index. As investors cash out at higher prices, there could be a downward pressure on stock prices as investors are looking to take profits.
There are also concerns that the prices of tech stocks have become too high and are overdue for a correction. With the stock market at an all time high, there is an even greater likelihood of a pullback in the near future.
Investors should be prepared for any potential decline in the market. They should consider taking profits where they can, as well as investing in more defensive stocks. It is also important to keep a regular watch on the Nasdaq and look for signs of a potential pullback.
Overall, the Nasdaq 100 is at an all-time high, and it is important for investors to understand that a pullback is not out of the question. Keeping a close watch on the index and being prepared for any potential decline is the best thing investors can do in this situation.