Kumowizard
Short

Long term Diamond Top building in progress

FX:NAS100   NASDAQ 100 index of US listed shares
273 7 16
The probability of a long term Diamond Top pattern development is increasing on the weekly chart.

Diamond Tops are one of the most reliable bearish patterns, when they get validation in form of a breakdown, that often triggers a long term bear market. Diamond Tops are quite rare, but when validated they are very reliable to mark a long term trend reversal =end of bullish trend and start of bearish trend ). This pattern often takes months to develop... well, in case of Nasdaq100 it has been forming for 16 months!

Until Price trades below 4525, we have to assume this will be one of the biggest diamond tops of the history.
Pattern validation: break below 4180.
Bear market confirmation: Lower low and multi-year trendline break below 3875
Measure tgt: textbook target is the distamce between top and bottom of the diamond - to 2865

I know for lot of people it is very hard to trade a weekly setup, but this really worth             following. Price may still spike within the possible diamond, but I believe eventually it will break down, and we'll see a heavy bear market.

Further notes:
- Just like in case of SP500             ( pls             see link below), Kijun Sen has been flat for 10 months now: market stopped bullish trending
- Bearish Senkou Span cross (Forward Kumo twist) is about to happen!
- Tenkan and Kijun slightly point down
- EWO             has initial bearish bias
- Heikin-Ashi has bearish bias (a pause, consolidation is possible next week)

Wether bullish or bearish , the breakout will happen the latest in August-September.

Good luck!
oooooh thats a big diamond!
Reply
Big! And will be very precious if completes! :-)
Reply
Are you out of the market or trading short term? Or commodities and safe's like gold?
Reply
I do trade. Gold and Platinum I've been long. If you follow my Twitter feed, you saw my call to buy platinum ard 990 few days ago.
Reply
2use Kumowizard
I stay away from twitter and stocktwits - too much rubbish there and hyped people on drugs screaming
Reply
You can always chose who to follow there :-) I don't follow more than 13.
Reply
This diamond top idea seems to be invalidated by the eternal bullish price action.
Reply
Ideas Scripts Chart
United States
United Kingdom
India
España
France
Italia
Polska
Brasil
Россия
Türkiye
Indonesia
日本
한국
Home Stock Screener Forex Signal Finder Economic Calendar How It Works Chart Features House Rules Moderators For the WEB Widgets Stock Charting Library Priority Support Feature Request Blog & News FAQ Help & Wiki Twitter
Private Messages Chat Ideas Published Followers Following Priority Support Public Profile Profile Settings Account and Billing Sign Out