NASDAQ reached a new top of 18700 (Micro E-mini NASDAQ futures on the chart). A confirmed break above this level is needed for a new long-term bullish cycle and extreme upside continuation. This is also Andrews’s Pitchfork uptrend channel resistance and a possible long-term fifth wave end. A rejection here is required for the downside reversal and a pullback into support 16700. Learn to Trade Indices profitably.
How to trade this?
It is a fact that a strong upside resistance for Q2 2024 is 18700 and If we get a confirmed break above this level we could see a strong upside continuation and new highs. Near-term, short-trade entries have a slightly higher probability of success. Long trade entries are possible only on a confirmed price-action break above 18700. You can try a short trade here with a stop loss above 18700. The short-trade entry has a good Risk to reward. For inquiries about account management please write to [email protected].
The Weekly NASDAQ chart reveals a possible terminal rising wedge at the end of the five upside waves. As the long-term charts imply, at this point look for the short trade entries or sell positions as they have a higher probability of success since we have at least three times in the previous 20 years of history a reversal from this steep long-term line. We will need to see a big break above 18700 to see an extension higher, an invalidation of the complete downside reversal, and the extension of the fifth long-term wave higher. I am inclined more to see a swing down to 16700 at this point.
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How to trade this?
It is a fact that a strong upside resistance for Q2 2024 is 18700 and If we get a confirmed break above this level we could see a strong upside continuation and new highs. Near-term, short-trade entries have a slightly higher probability of success. Long trade entries are possible only on a confirmed price-action break above 18700. You can try a short trade here with a stop loss above 18700. The short-trade entry has a good Risk to reward. For inquiries about account management please write to [email protected].