Nasdaq Composite rallying up, target 9600 in December or January
It looks like IXIC is ready to break above historical all time high and rally significantly to the 9000s in the last quarter of 2019.
The semiconductor index has already broken above the ascending triangle, next target is 2000 in a couple of months.
However, if Nasdaq Composite fails to sustain this rally it might drop and retest the 8000 support. If it holds 8000, IXIC will form an ascending triangle formation just like the semiconductor index, eventually it will rise and challenge 8400 again. Long term picture is very bullish, some people say there is a severe bubble but the average market earnings ratio is nowhere near the monstrous high of 2000, therefore it's safe to say the long term bullish trend will continue for another couple of years at least. Assuming IXIC will rise 18-19% per annum like it did from 1974 to 2019 on average, we will see it going to the 20000s in 2024. There are some leveraged and non-leveraged ETFs to buy, forming a relavtively safe and profitable scenario.
In the most optimistic scenario, IXIC might break out of Wave 3 ascending channel and test 30000 resistance in 2024. In this case the technology stocks might rise in a similar fashion to the late 1990s and become a real bubble in the next 5 years.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.