Skating with Stocks on thin ice at the start of a big week for the markets, according to one trader. "We've got the Fed, nonfarm payroll and on Wednesday there are a lot of big earnings coming out here," Todd Gordon, founder of TradingAnalysis.com, said Monday on CNBC's "Trading Nation." Apple, Facebook, Microsoft, Amazon and Alphabet all report earnings later this week, the five companies represent more than 40 percent of the Nasdaq 100. "So a lot of data is hitting the market and we're in a technical position where we need to kind of back up here."
Gordon is referring specifically to a parallel channel in the chart of the Nasdaq 100 that has been in play for a few years. According to the trader, since 2009 the market has "respected the top end of this channel, which is your ceiling or resistance," and it has also "respected the bottom side which is support, or the floor."