NASDAQ refers to the Nasdaq Stock Market, a major electronic US stock exchange known for listing technology, growth, and innovation companies. The name is also used for the exchange's stock indices.
The Nasdaq Composite tracks thousands of Nasdaq-listed companies, while the Nasdaq 100 tracks 100 of the largest non-financial companies on the exchange. When traders say 'the Nasdaq is up', they usually mean one of these indices.
Large Nasdaq-listed stocks can drive technology-sector performance and US equity direction. You can take exposure through individual shares, stock CFDs, exchange-traded funds, or index products linked to the Nasdaq indices.
You want exposure to large US technology stocks, so you track the Nasdaq 100, which holds names such as:
- Apple - Microsoft - Amazon - Meta Platforms - Nvidia
Strong earnings from several large Nasdaq-listed stocks can push the Nasdaq 100 higher. Weak guidance from the same names can pull it lower, because large companies carry heavy weight in the index.