Princess Gwen here, looking after her kingdom's investments. If she wants to buy her ballgowns, she has make good investments.
The whole US Market is on shaky ground, but no market more so than the Nasdaq. Just as the FAANG stocks carried the market to new highs, the same FAANG stocks will pull it down. This set of stocks either have already, or soon will form Death Crosses, as the 50 day moving average passes below the 200 day. The Nasdaq itself is about to form a Death Cross, just as the Right shoulder has finished forming in a Head and Shoulders pattern.
I'm not a big believer in the Head and Shoulders, but it's pretty obvious here. That would give a price target next around 6,000, which was what I'd previously guessed. The way down is likely going to be swift at this point, with few stops for capitulation. Now is a good time to look at PSQ, or SQQQ if you're feeling lucky. As with anything in trading, the Stop Loss is your friend.
The whole US Market is on shaky ground, but no market more so than the Nasdaq. Just as the FAANG stocks carried the market to new highs, the same FAANG stocks will pull it down. This set of stocks either have already, or soon will form Death Crosses, as the 50 day moving average passes below the 200 day. The Nasdaq itself is about to form a Death Cross, just as the Right shoulder has finished forming in a Head and Shoulders pattern.
I'm not a big believer in the Head and Shoulders, but it's pretty obvious here. That would give a price target next around 6,000, which was what I'd previously guessed. The way down is likely going to be swift at this point, with few stops for capitulation. Now is a good time to look at PSQ, or SQQQ if you're feeling lucky. As with anything in trading, the Stop Loss is your friend.
Comment:
This drop is on hold until January, as Christmas is going to keep the market humming along until then. For an eerily similar scenario, see 2007, which had the same November setup.
