On the daily chart below, we can see that the price is struggling to break above the 12660 resistance as a hawkish repricing in interest rates expecta
On the daily chart below, we can
see that the price is struggling to break above the 12660 resistance as a hawkish repricing in
interest rates expectations and negative headlines on the debt ceiling front
are weighing on the Nasdaq.
The major bullish
flag is still playing out perfectly and the target for that is the 13000
price zone. As things stand, we may get a pullback into the trendline first where the buyers will also
have the red long period moving
average as support.
Nasdaq Technical Analysis
On the 4 hour chart below, we
might have a possible double top at the 12660 resistance with the neckline standing
at the 12420 level. This would be a good setup for both buyers and sellers. The
buyers will lean on that neckline with the trendline and the daily red long
period moving average as support to target a break above the 12660 resistance.
The sellers, on the other hand, will wait for a break below the neckline and
the trendline to start positioning for a bigger selloff into the 11800 swing
low level.
On the 1 hour chart below, we can
see more closely the short term price action in the Nasdaq. The recent pullback
bounced from the 38.2% Fibonacci
retracement level, so we may expect buyers again there if the
price pulls back again.
Alternatively, if the Nasdaq
starts to break above the 12755 high, the buyers should pile in as the bullish
momentum would be in their favour. Today, the only risk event is the US
PCE report. In case we get a beat, we should see the pullback into the 12420
level, but if we get a miss, we should see the Nasdaq rallying to new highs.
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