Nasdaq - short term bearish bias

Happy holidays. On the look out for bearish breakout of this POTENTIAL rounding top pattern with rising wedge and bearish divergence on the RSI (daily). Confirmation would be an inside bar breakout of 12600. Stop loss on such an aggressive wing trade like this would be above 12825 area. Targets in the 12500, 12,200, 11,600 areas

Commentaire:

So the mini-symmetrical triangle broke upwards, which isn't surprising given the bullish trend continuation pattern. This trade did not trigger. The POSSIBLE rising wedge pattern is still in plan BUT this is far from a definitive idea with the bullish bar that printed today. Still very cautious and not taking many long trades in this environment with low volume, still a lot of uncertainty and these price levels are just too high risk for sudden reversal.

Commentaire:

Not surprisingly we had a bearish breakout of the ending diagonal pattern. Reasonable retrace to 12000-12200 area and if breaks that support area, 11,500 is in play.