Nasdaq Index (US100): More Growth is Ahead
NASDAQ Index broke and closed above a neckline of a cup and handle pattern
on a daily, following the yesterday's CPI report.
Taking into consideration, that the index is trading in a strong bullish trend,
that violation will most likely trigger a strong bullish wave.
I will expect growth to 15600.
For entries, consider an occasional retest of a broken neckline.
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Us100
NASDAQ Resistance break-out, buy signal targeting 15900.On our last Nasdaq (NDX) call (see chart below), we took a short-term buy after a bullish break-out above a key Fibonacci level:
The index made an even more critical break-out yesterday, as it broke above Resistance 1 (15285) which had in the last 30 days two clear rejections (June 16, July 05). This is a technical bullish break-out signal, on a 1D RSI above its MA and the price on a rise after getting close to the Channel Up pattern from the start of the year. The 1D MA50 (blue trend-line) has been supporting the majority of this strong uptrend in the past 4 months.
The upside potential extends as high as Resistance 2 (January 04 2022 High) at 16570 but we will pursue a more modest target. The minimum on the previous bottom rebound was the Fibonacci 2.0 extension. As a result, we are buying this break-out and target 15900.
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US100 The Target Is UP! BUY!
My dear subscribers ,
This is my opinion on the US100 next move:
The instrument tests an important psychological level 15320.5
Bias - Bullish
Technical Indicators: Pivot Points Low anticipates a potential price reversal.
Super trend shows a clear buy, giving a perfect indicators' convergence.
Goal - 15449.9
Safe Stop Loss - 15247.5
About Used Indicators:
Super-trend indicator is more useful in trending markets where there are clear uptrends and downtrends in price.
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WISH YOU ALL LUCK
NASDAQ Index (US100): Bullish Rally is Comming
Today's CPI report is very negative for the Greenback.
Gold, major forex pairs and indexes started to grow rapidly.
US100 index formed a cup & handle pattern on a daily time frame.
The market is currently testing its neckline.
If a daily candle closes above that,
probabilities will be high, that the growth will continue.
Next goal will be 15600
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US100 Is Very Bullish! Long!
Take a look at our analysis for US100.
Time Frame: 1D
Current Trend: Bullish
Sentiment: Oversold (based on 7-period RSI)
Forecast: Bullish
The market is approaching a significant support area 15135.6.
The underlined horizontal cluster clearly indicates a highly probable bullish movement with target 15886.4 level.
P.S
Please, note that an oversold/overbought condition can last for a long time, and therefore being oversold/overbought doesn't mean a price rally will come soon, or at all.
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NASDAQ Short term sell on the MA50 (4h).Nasdaq is testing the MA50 (4h) as the short term Resistance.
Ahead of Wednesday's U.S. CPI any short term estimate can be invalidated by the usual high volatility but technically, as long as that level holds, it justifies the completion of a Channel Down same as June 15th-26th.
The long term pattern remains a Channel Up, so any pull back is a long term buy opportunity as long as the MA50 (1d) holds.
Trading Plan:
1. Sell on the current market price.
2. Buy at the bottom of the Channel Up.
3. Sell if Support (1) breaks.
Targets:
1. 14850 (expected contact with the MA200 4h).
2. 15450 (+4% rise as previous rebound).
3. 14550 (expected contact with the MA50 1d).
Tips:
1. The RSI (4h) has offered the ideal sell on its 70.00 overbought level and the ideal buy near its 30.00 oversold level. Use it as an additional indicator.
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Notes:
Past trading plan:
Market Rotation Theory (S&P, Nasdaq, Dow & Russell)Something interesting i've been noticing in the market since the lowest lows back in October 2022 is that the "new bull market" appears to be activating in stages, kinda like it's going in rotation from one investment class to the next:
-Dow Top Performer Q4'22
-S&P Top Performer Q1'23
-Nasdaq Top Performer Q2'23
And if this were to continue then it's entirely possible that Russell 2000 could be the Top Performer in Q3'23 for a couple of reasons:
1. Held up decently well during the Mini Banking Crisis of March 2023
2. Appears to be in a massive accumulation phase & potentially making in Higher Lows
3. Small Caps were the first to crash back in Q4'21, front loading what was to come in 2022, which means that it'll be the last to run with potentially decent risk to reward ratios.
NASDAQ: Last drop before the rally.Nasdaq is on the 4th red 1D candle in a row with 4H technicals turning bearish (RSI = 42.946, MACD = -13.870, ADX = 40.063) while the 1D RSI is testing the HL trendline for the 4th time since December 28th 2022.
If it crosses it, we will have a first bearish warning that the 4H MA50 may break for the first time since April 25th, where we will sell and target the 1D MA50 (TP = 14,500). For as long as the 4H MA50 holds though, we will buy and target the R1 firstly (TP = 15,250) and the R2 (TP = 16,000) secondly.
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NAS100Not what we expected but it's good that it happened. We moved SL into profits before SL hit, so we were out before anything.
Remember that you are a manager and not just a gambler, so follow your plan. Plan your trades, and trade the plan.
There is still opportunity to re-enter but the day's goal has been reached so we close tabs and we'll be back tomorrow in the morning again.
NASDAQ Final pull back before a Higher High.Nasdaq hit Resistance A (15280) again and so far struggles to break it.
In accordance to three similar such patterns inside this year's Channel Up, the price may now pull back to a new 2 week low near the 1day MA50.
Buy this pull back and target 15500. The 4hour RSI holding its Rising Support, should favor this trade.
If the price closes under the 4hour MA50, sell and target the bottom of the long term Channel Up at 13800.
Previous chart:
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NQ1! NAS100USD NASDAQ 2023 JULY 04CME_MINI:NQ1! NQ1! NAS100USD NASDAQ 2023 JULY 04
On the daily chart, we see potential trend changing weakness lining up.
Market tested previous high, and stalling around the 14520 level.
Possible Scenarios:
1) Market continues to be marked up on low volume narrow spread up bars = long on retracement
2) Short on test and rejection of recent high / lower high
3) if market forms lower highs, prepare for short
Price Reaction Levels
Short on Test and reject | Long on Test and Accept
16646 15440 14850
14089 13350
*Longer term: 13350 needs to be supported for long trend to be intact.
Price/Volume/Trend Analysis:
Weekly: NTC ave vol up bar close toward high | Up trend
Daily: UT + Lower vol ND up bar = PTC weaknesses lining up.
*NTC = Non-Trend Changing | PTC: Potential Trend Changing
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Have a profitable trading week.
*For education purpose only.