We have different signals to look at on the Nasdaw (NDX) chart.
We looked at the SPX and DJI, each has its own signal that support a continuation of the bearish correction, here we have new ones.
First, let's start with the "Hanging man". This is the candle that showed up on 2-Feb. 2022. This is a bearish candle.
To make things worse, the day that followed we have a "falling window" or "GAP" as prices for the NDX opened much lowered compared to the previous day low.
All in all this is highly negative, the candle opened below EMA10 which supports the other signals.
Conditions for change
If the NDX moves up resistance will first be found at the falling window. The final resistance is at the "hanging man's" high (upper shadow). If this level is broken, these signals are invalidated.
Any trading below these levels and the bearish bias remains strong.
Are we going down this very same week? That's my believe based on the chart.
What's your take? Leave us a comment.
Namaste.
Comment
⋅
Went to the gap just to be rejected... The crash comes next.
Alan, you were great about pump and dump crypto in 2017-2018, but equities are a different beast altogether. The Fed is pumping this market full of 0% QE heroine. No economic data or war or even power outage in Wall Street could dump the markets. We're full speed ahead to 50,000 Dow 25,000 Nasdaq and 10,000 S&P. The market is completely disconnected from reality. Retail investors aren't a drop in the water