NAS100 Off Correction Lows, Rally Towards 14600
Trend Analysis
The main view of this trade idea is on the 15-Min Chart.
It appears that the lows of the correction have been made around the 13000 price level for NASDAQ 100 Index (NAS100). The Index has broken above its short (30-MA), medium (100-MA) and long (200-MA) Simple Moving Averages. There have been positive crossovers between the short and long as well as the short and medium term Mas. The Awesome Oscillator (AO) crossed above 0 and is currently green, which indicates positive price movements. The Relative Strength Indicator (RSI) is off the oversold levels and back above 50. Expectations are for NAS100 to continue to rally off the lows with a target at around 14600.
From a different trend following perspective, the Supertrend indicator shows a breakout off the 13000 lows with initial resistance around 13440. Once NAS100 breaks above 14000, expectations are for a continued move towards 14650.
Recommendation
The recommendation will be to go long at market, with a stop loss at 13550 and a target of 14600. This produces a risk/reward ratio of 2.13.
Disclaimer
The views expressed are mine and do not represent the views of my employers and business partners. Persons acting on these recommendations are doing so at their own risk. These recommendations are not a solicitation to buy or to sell but are for purely discussion purposes. At the time of publishing I have exposure to NAS100.
The main view of this trade idea is on the 15-Min Chart.
It appears that the lows of the correction have been made around the 13000 price level for NASDAQ 100 Index (NAS100). The Index has broken above its short (30-MA), medium (100-MA) and long (200-MA) Simple Moving Averages. There have been positive crossovers between the short and long as well as the short and medium term Mas. The Awesome Oscillator (AO) crossed above 0 and is currently green, which indicates positive price movements. The Relative Strength Indicator (RSI) is off the oversold levels and back above 50. Expectations are for NAS100 to continue to rally off the lows with a target at around 14600.
Recommendation
The recommendation will be to go long at market, with a stop loss at 13550 and a target of 14600. This produces a risk/reward ratio of 2.13.
Disclaimer
The views expressed are mine and do not represent the views of my employers and business partners. Persons acting on these recommendations are doing so at their own risk. These recommendations are not a solicitation to buy or to sell but are for purely discussion purposes. At the time of publishing I have exposure to NAS100.
Trade closed: stop reached