NQ1 100 MF-D1-DOJI EVENING STAR !DAILY (D1)
Following the recent rally seen over the last couple of days, yesterday's price action triggered a "DOJI EVENING STAR" which closed slightly above
the Mid Bollinger Band..but as this kind of pattern is usually bearish, the Nasdaq opened today with a gap and roughly at the level of the ongoing uptrend
support line.
Today's price acton should be monitor very closely as a failure to recover above the Mid Bollinger Band (15'013) on a daily closing basis would add further selling pressure
calling for a move towards the first significant support level @ 14483 (TS); a daily closing level below 14483 would, again, put the Nasdaq below the former downtrend resistance line
and therefore increase the selling pressure accordingly, towards the weekly clouds support area (in overlay on the Daily chart( 13'975-12'903)
RSI failed to recover above 50, being currently @ 43.50.
Lagging line reversed too.
THE STRATEGIC TECHNICAL TARGET REMAINS @ 12'894 !
Only a sustainable move above 15200 would force to a view reassessment of the expected ongoing bearish scenario.
4 HOURS (H4)
Currently, still above the H4 clouds but already below TS and MBB in a new ongoing downtrend (in this H4 time frame)
The Lagging lane is again below the clouds .
Watch the clouds as the next support area (14'680-14'210);
38,2% Fib ret @ 14'714
50.0 % Fib ret @ 14'545
61.8% Fib ret @ 14'377
and 78.6% Fib ret @ 14'136 (roughly the bottom of the H4 clouds zone )
RSI slightly above 50 @ 50.77
1 HOUR (H1)
Currently in the clouds !
A failure to stay within the clouds and quickly recover above it would add conviction for further downside towards the levels
previously mentioned in H4
In this short term time frame the 15'000-15'200 area should be clearly broken on a closing basis; otherwise, as already mentioned
the downward selling presure will accelerate the move !
Ironman8848 & Jean-Pierre Burki
Indicesfutures
SP500 MF-D1-CLOUDS WORKED PERFECTLY WELL !DAILY (D1)
Once again the daily clouds worked perfectly well in rejecting the entry of the clouds resistance area.
Potential mirror effect (mentioned yesterday !) in progress...
Yesterday's closing (4577.50) was slightly above the Mid Bollinger Band (4542.50)and today's ongoing price action is showing an
attempt to breakout the former Mid Bollinger Band resistance which became the new support level to look at.
Indeed , a closing level, later on today below the Mid Bollinger Band or even more convincing below the 4'500 area (as a gentle reminder,
this level is the trigger level of the broad double top formation which is still alive !) and also the Kijun-Sen (4'510) would put again the SP 500 in growing trouble.
Below watch the Tenkan-Sen @ 4'400
RSI below 50 @ 48.82 !
On the upside, no secret, watch MBB ahead the clouds resistance zone (4612-4652) and only a sustainable move above the clouds would force
to a view reassessment, calling for lower levels.
4 HOURS (H4)
Still in a sideways price action with a slight downside bias; Mid Bollinger Band (@ 4'514) in support in this H4 time frame; a breakout on H4 closing basis
would open the door for 4'500 ahead of 4463, 4426 and 4388 the latter level being the 61.8% Fib ret of the last 4266.25-4'586 rally.
Potential extension towards the bottom of the clouds support zone @ 4334 which is also the 78.6% Fibonacci retracement.
1 HOUR (H1)
Currently below :
1) The cluster (TS,KS and MBB) !
Below the next support area to look at is the hourly clouds (4521-4459)
Interesting to note that the bottom of the hourly clouds coincides roughly, also with the 38.2% Fibonacci retracement previously mentioned in H4 comment.
Have a nice trading day, "may your long goes up and your short goes down".
All the best and have fun.
Ironman8848 & Jean-Pierre Burki