Nasdaq100:Very extended from cloud support, consolidation risk!

TVC:NDX   NASDAQ 100 Index
Nasdaq100: Very extended from cloud support, consolidation risk!

NDX is very extended on the daily and weekly cloud charts and at risk of a consolidation over the next few weeks.

Downside risk to the top end of the cloud on the 4 Hour cloud chart, as well as front end cloud support level on the daily cloud chart. Risky few weeks ahead!

My strategy is to take profits in extended zones and to buy back at key cloud chart support zones.

Price action is above the clouds and that remains bullish for now with 10% corrections expected in these cloud chart support pullbacks. But beware consolidation risk!

Happy cloud chart trading.