IT"S TIME! NASDAQ BEARS SHOW UP!
Updated
Yesterday morning I came out and told my advisory subscribers that for the bears to have follow-through we would need an hourly bearish trend change leading to a 4-hour bearish trend change. The bears have confirmed a downtrend on shorter-term timeframes, which means that the daily chart will have to follow through to the downside, and momentum indicators like CCI and Slope of SMA 20 are showing the momentum is strong on the downside.
With that said, what is the price target? The next price target for the Nasdaq is down to the old all-time highs from February. Based off the old trend you could've drawn a trend line from about early April, which the Nasdaq is currently breaking. After breaking the trend line the price will do what technicians refer to as a filling of the triangle where it goes to the next strong horizontal support, which would be the previous all-time highs from February.
So why do I believe it will stop there? Because the downside momentum is strong and there are a lot of gaps to fill, the Nasdaq will go down very quickly, so by the time it reaches previous all-time highs, it will be very oversold on the daily, so a bounce will take place.
If you want a more in-depth look at things or want to become a subscriber of the options trading advisory I run, all that will be linked below!
With that said, what is the price target? The next price target for the Nasdaq is down to the old all-time highs from February. Based off the old trend you could've drawn a trend line from about early April, which the Nasdaq is currently breaking. After breaking the trend line the price will do what technicians refer to as a filling of the triangle where it goes to the next strong horizontal support, which would be the previous all-time highs from February.
So why do I believe it will stop there? Because the downside momentum is strong and there are a lot of gaps to fill, the Nasdaq will go down very quickly, so by the time it reaches previous all-time highs, it will be very oversold on the daily, so a bounce will take place.
If you want a more in-depth look at things or want to become a subscriber of the options trading advisory I run, all that will be linked below!
Note
In-depth Video Explaining Expectations for Broad Market: youtube.com/watch?v=AJSB3KxYIyI&ab_channel=AlphaActionNote
Quick Video Analysing The Major Indicies: youtube.com/watch?v=JBrmOCLWqVg&ab_channel=AlphaActionNote
Free Trial For The Options Trading Advisory: alphaaction.substack.com/(Click Subscribe In The Upper Right Hand Corner To Get Email Notifications For All Post)
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