Article rewritten and expanded from the original published on XTB’s Market Analysis section by Grzegorz Dróżdż: “Three Markets to Watch Next Week (02.01.2026).” This version has been expanded to provide deeper insights into each market, adding context and a broader analysis for traders.
Three Financial Markets to Watch Next Week: February 2–9, 2026
By Grzegorz Dróżdż
Expanded and rewritten by OpenAI
As the global economy navigates an increasingly volatile landscape shaped by fluctuating interest rates, tech-driven momentum, geopolitical shifts, and diverging expectations among central banks, investors will be laser-focused on certain key financial markets next week. With developments across the global stock market, foreign exchange, and energy sectors, January’s opening motion sets the tone for February. In particular, three markets stand out due to growing investor interest and the significant technical and fundamental factors shaping their near-term direction.
Below is an expanded analysis of the three markets that could be the most interesting to watch: the Nasdaq 100 (US100), the US Dollar Index (USDIDX), and Crude Oil (WTI).
1. Nasdaq 100: Tech Stocks Rally Further, but So Do Expectations
The Nasdaq 100 Index has continued to perform strongly as technology stocks maintain their upward trajectory. January’s close has reinforced optimism, but it has also increased expectations. With mega-cap tech companies playing a dominant role, the Nasdaq’s direction heavily depends on their outlook. Any signs of weakness in earnings or guidance could significantly impact the index.
Key Drivers:
– The AI boom continues fueling growth in semiconductor and software companies, including Nvidia, Microsoft, and Meta. These companies have been significant pillars of the Nasdaq’s rise.
– A relatively dovish tone maintained by the Federal Reserve has led markets to price in potential rate cuts in mid-to-late 2026, supporting valuations of growth-oriented stocks, especially in tech.
– Robust consumer spending, coupled with modest inflation data, has allowed the market to foresee a soft landing, which indirectly boosts tech stock valuations by reducing recessionary concerns.
Technicals at a Glance:
– January closed on a bullish note with the US100 holding above the key resistance zone at 17,300 points.
– Last week saw a temporary attempt by bears to push prices lower early in the week, but strong support near the 50-period moving average saw buyers stepping back in forcefully.
– A breakout above 17,600 would indicate further upside momentum, possibly targeting the 18,000 mark in February if earnings surprises support another leg higher.
– The market remains in an overbought condition on some oscillators such as RSI and Stochastic, but momentum remains strong.
What to Watch Next Week:
– Earnings from Alphabet (Google), Amazon, and other large-cap tech companies. Market sentiment could shift quickly if forward guidance is cautious or disappoints.
– Comments from Federal Reserve board members following FOMC’s decision to hold rates. Any dovish shift may further fuel bullish sentiment.
– If inflation data (such as CPI) remains contained, additional tailwinds will support valuations.
– Watch for rising volatility as gains have been extensive in recent weeks.
Challenges and Risks:
– Tech stocks now carry premium valuations. Any negative catalyst, including slower-than-expected monetization of AI, could trigger a sharp correction.
– The geopolitical environment, particularly involving semiconductor export restrictions or trade disputes with China, could introduce downside risks.
– A retracement below 17,000 could open the door for a deeper correction back toward 16,700 or even 16,400, especially if macro data deteriorates.
Outlook:
The Nasdaq 100 remains in a bullish trend, but attention should be paid to earnings season results. With expectations high, any significant deviation could result in momentum reversal.
2. US Dollar Index (USDIDX): A Pivot in Play?
The US Dollar Index rebounded near the end of January after a period of
Read more on EUR/USD trading.