Hi Guys,
The Nasdaq has continued its crazy bull run with another all time high close after Friday's session.
The consolidation period from its last high to this one again presented opportunities to keep riding this uptrend by entering long on lower time frames. Support continues to be strong anytime the Nasdaq comes between its 20 and 50mas and close to the AVWAP from its previous higher low and the bottom of the channel that it has been running up inside.
So where do we look to now for pullbacks to keep taking advantage of this super strong uptrend and where is the long awaited correction going to take place.
The red box that Ive highlighted on the chart may be an area of interest for some stronger selling pressure to allow for a deeper pullback/correction.
The smaller red area just above price may present some lower time frame selling opportunities and thus buying on any pullback as it is the 1.27 retreacement of B and C and also 1.618 retracement of the last daily swing high and low before we made this new high. I've found the Nasdaq to respond more to the .618 levels. If you have a look at recent swing high to lows the 1.618 retracement often presents area to look for sell setups.
Within the larger box there is firstly the 20000 psychological level, which I think the bulls are keen to hit and will more than likely do so. The two lines above that level represent the 1.618 retracement of points B and C and the 1 trend based extension of A to B to C. Two very important fib levels from very important points on the Nasdaq chart.
The bull flag that is also highlighted shows a take profit level that is slightly below the red box so this still tells me that there is a bit more to go before I will consider holding any sell positions for a longer term and consider selling into rallies that come back towards that level.
Looking on lower time frames like 1 hour or even 15 minutes there is clearly a long way to the level I've highlighted and therefore still opportunities to look for long trades and keep taking advantage of the trend.
Safe Trading all
The Nasdaq has continued its crazy bull run with another all time high close after Friday's session.
The consolidation period from its last high to this one again presented opportunities to keep riding this uptrend by entering long on lower time frames. Support continues to be strong anytime the Nasdaq comes between its 20 and 50mas and close to the AVWAP from its previous higher low and the bottom of the channel that it has been running up inside.
So where do we look to now for pullbacks to keep taking advantage of this super strong uptrend and where is the long awaited correction going to take place.
The red box that Ive highlighted on the chart may be an area of interest for some stronger selling pressure to allow for a deeper pullback/correction.
The smaller red area just above price may present some lower time frame selling opportunities and thus buying on any pullback as it is the 1.27 retreacement of B and C and also 1.618 retracement of the last daily swing high and low before we made this new high. I've found the Nasdaq to respond more to the .618 levels. If you have a look at recent swing high to lows the 1.618 retracement often presents area to look for sell setups.
Within the larger box there is firstly the 20000 psychological level, which I think the bulls are keen to hit and will more than likely do so. The two lines above that level represent the 1.618 retracement of points B and C and the 1 trend based extension of A to B to C. Two very important fib levels from very important points on the Nasdaq chart.
The bull flag that is also highlighted shows a take profit level that is slightly below the red box so this still tells me that there is a bit more to go before I will consider holding any sell positions for a longer term and consider selling into rallies that come back towards that level.
Looking on lower time frames like 1 hour or even 15 minutes there is clearly a long way to the level I've highlighted and therefore still opportunities to look for long trades and keep taking advantage of the trend.
Safe Trading all