NQ1 100 MF-W1-EN ROUTE FOR 12'894 !
Broad picture continue to be negative !!!
WEEKLY (W1)
Last week price action triggered a long black candle (very bearish, almost a "MARUBOZU") which roughly closed at its lowest level of the week !
Therefore, it is very important to look very carefully at the price action which took place prior to this long black candle.
The week before, a perfect *DOJI" pattern has been triggered which was a first warning signal of growing uncertainty; in addition, the closing level
of this doji was at the same point than the weekly Kijun-Sen, which also added increasing pressure for a potential downside breakout which occured this week.
Last week price action should not be underestimated as the former uptrend channel has also been clearly broken, meaning a TREND REVERSAL CONFIRMED in this weekly
time frame !!!
STRATEGIC TARGET IS AT 12'894 (38.2% Fibonacci retracement of the big rally, starting @ 6628.75-16767.50 in March 2020 towards the ATH reached in November 2021.
Please also take note that this level coincides with the weekly clouds bottom level and therefore should be really considered as a KEY PIVOT SUPPORT LEVEL for further development.
Watch also :
1) the Lagging line price action over the upcoming sessions;
2) the monthly clouds in overlay on this weekly chart which gives additional information about downside potential;
3) RSI price action which is still converging to the downside.
DAILY (D1)
Ongoing downside move, confirmed by :
1) the primary downtrend resistance line which started from ATH (16'767.50) towards the pullback attempt which failed @ 16'659.50;
2) the secondary ongoing downtrend resistance line, currently around 15400, which started from 16'659.50
Low reached so far last Friday intraday @ 14'408 with a daily&weekly closing roughly at the low of the day& week @ 16'426.50 which is not positive at all for the upcoming trading session (s)
Interesting to have a look at the trading range (13'788-12'648) of the weekly clouds (on overlay) which should be seen as the next significant support zone.
Clear RSI bearish convergence.
4 HOURS (H4)
No trend reversal detected on this time frame yet, still converging to the downside.
1 HOUR (H1)
Potential upcoming RSI bullish divergence which is not validated yet !
Therefore, watch carefully,, at the next opening trading session, upcoming short term price action which would validate or invalidate a potential short term recovery which, for the time being is expected
to be very limited and which should be seen as a short term corrective move.
ONLY A SUSTAINABLE RECOVERY ABOVE THE 15'000 AREA WOULD NEUTRALISE TEMPORARY THIS ONGOING DOWNSIDE MOVE PRICE ACTION.
Ironman8848 & Jean-Pierre Burki
WEEKLY (W1)
Last week price action triggered a long black candle (very bearish, almost a "MARUBOZU") which roughly closed at its lowest level of the week !
Therefore, it is very important to look very carefully at the price action which took place prior to this long black candle.
The week before, a perfect *DOJI" pattern has been triggered which was a first warning signal of growing uncertainty; in addition, the closing level
of this doji was at the same point than the weekly Kijun-Sen, which also added increasing pressure for a potential downside breakout which occured this week.
Last week price action should not be underestimated as the former uptrend channel has also been clearly broken, meaning a TREND REVERSAL CONFIRMED in this weekly
time frame !!!
STRATEGIC TARGET IS AT 12'894 (38.2% Fibonacci retracement of the big rally, starting @ 6628.75-16767.50 in March 2020 towards the ATH reached in November 2021.
Please also take note that this level coincides with the weekly clouds bottom level and therefore should be really considered as a KEY PIVOT SUPPORT LEVEL for further development.
Watch also :
1) the Lagging line price action over the upcoming sessions;
2) the monthly clouds in overlay on this weekly chart which gives additional information about downside potential;
3) RSI price action which is still converging to the downside.
DAILY (D1)
Ongoing downside move, confirmed by :
1) the primary downtrend resistance line which started from ATH (16'767.50) towards the pullback attempt which failed @ 16'659.50;
2) the secondary ongoing downtrend resistance line, currently around 15400, which started from 16'659.50
Low reached so far last Friday intraday @ 14'408 with a daily&weekly closing roughly at the low of the day& week @ 16'426.50 which is not positive at all for the upcoming trading session (s)
Interesting to have a look at the trading range (13'788-12'648) of the weekly clouds (on overlay) which should be seen as the next significant support zone.
Clear RSI bearish convergence.
4 HOURS (H4)
No trend reversal detected on this time frame yet, still converging to the downside.
1 HOUR (H1)
Potential upcoming RSI bullish divergence which is not validated yet !
Therefore, watch carefully,, at the next opening trading session, upcoming short term price action which would validate or invalidate a potential short term recovery which, for the time being is expected
to be very limited and which should be seen as a short term corrective move.
ONLY A SUSTAINABLE RECOVERY ABOVE THE 15'000 AREA WOULD NEUTRALISE TEMPORARY THIS ONGOING DOWNSIDE MOVE PRICE ACTION.
Ironman8848 & Jean-Pierre Burki
Related publications
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.