NAS bottom in? New ATHs possible from here
I'm going to go out on a limb and say the bottom is in for US indices here - arguably a little premature - but here's why:
4hr structures are finally breaking out - with the first higher highs in a little while now printing today. Plenty of bullish divergence present similar to March and May 2020 bottoms (see below). This after having bounced yet again off the bottom of the larger megaphone / descending brodening wedge structure we have been stuck inside for the last month.
Targets:
On Daily timeframe we also back tested the top of the previous wedge (from Feb-April highs and Mar-May lows) and have bounced off this area.
4HR bottom in March 2020 (with bull div mentioned above)
4HR bottom in May 2020 (with bull div mentioned above)
Another view / supporting reason is NDTW - the Nasdaq 100 stocks above the 20-day moving average - which hit oversold levels earlier in the week and has bounced off lows today
Also Mitch McConnell has today offered a deal of a temporary extension to the debt ceiling limit to December which the democrats have accepted. This should ease fear & panic selling in the market for the foreseeable...
As the saying goes - be greedy when others are fearful, and fearful when others are greedy...
Good luck have fun
4hr structures are finally breaking out - with the first higher highs in a little while now printing today. Plenty of bullish divergence present similar to March and May 2020 bottoms (see below). This after having bounced yet again off the bottom of the larger megaphone / descending brodening wedge structure we have been stuck inside for the last month.
Targets:
- 14950 - anchored vwap from ATH
- 15200 - top of megaphone structure
- new ATHs - ???
4HR bottom in March 2020 (with bull div mentioned above)
4HR bottom in May 2020 (with bull div mentioned above)
Another view / supporting reason is NDTW - the Nasdaq 100 stocks above the 20-day moving average - which hit oversold levels earlier in the week and has bounced off lows today
Also Mitch McConnell has today offered a deal of a temporary extension to the debt ceiling limit to December which the democrats have accepted. This should ease fear & panic selling in the market for the foreseeable...
As the saying goes - be greedy when others are fearful, and fearful when others are greedy...
Good luck have fun
Comment:
Weekly view - SPX and NAS both green doji on the week now and holding above 20MA - obviously will be key to see this hold into the end of the week
Comment:
Some more views:
VIX pulling back off of larger timeframe resistance and needs to cool off a bit
PCC (put to call ratio) is still a little elevated above 1 as of today's close
VIX pulling back off of larger timeframe resistance and needs to cool off a bit
PCC (put to call ratio) is still a little elevated above 1 as of today's close
Comment:
Cleaner view of the daily channel and 100 day MA support
Comment:
Another megaphone inside larger megaphone structure which appears to be breaking up - or at least trying to - in post-market after Wednesday's close
Tech been stronger than other sectors today with bonds bouncing back and yields dropping. And earnings in a couple weeks...
Just hope we don't chop for the rest of the week like the last few days, but with monthly opex this Friday 15th Oct this is also a possibility...
Tech been stronger than other sectors today with bonds bouncing back and yields dropping. And earnings in a couple weeks...
Just hope we don't chop for the rest of the week like the last few days, but with monthly opex this Friday 15th Oct this is also a possibility...
Comment:
Also TP2 target should be lowered to 15100ish on any swing longs - if targetting another move like the last one (break up of smaller descending megaphone structure) and/or a retest of the larger megaphone top & larger downwards TL
A bit more resistance to break first though...
A bit more resistance to break first though...
Comment:
It's happening GIF
Comment:
0.786 fib hit only 1 day later - ridiculous move last couple days
Comment:
NAS hit new ATHs today!
Watching for potential topping structures - although again arguably a bit premature - but lot's of FAANGM earnings this week and FOMC next week so not impossible
Daily candle ugly - a back test of 50dma would be nice before more highs
Watching for potential topping structures - although again arguably a bit premature - but lot's of FAANGM earnings this week and FOMC next week so not impossible
Daily candle ugly - a back test of 50dma would be nice before more highs
Comment:
Careful here...
