Nasdaq 100 technical analysis
The Nasdaq 100’s sell-off from its 22,133 high left a bearish weekly engulfing candlestick pattern. This pattern warns of the risk of a deeper pullback, further downside confirmation is required.
Specifically, the downside confirmation required is a daily close below support at 21,000 – 20,900, and a daily close below the mid-November 20,315 low.
Should both support levels break on a sustained basis, it would indicate that a medium-term high is in place at the 22,133 high and warn that a deeper pullback is underway towards the 200-day moving average (MA) at 19,477, with scope to uptrend support at 19,150.
Aware that until those two support levels mentioned above are breached, the uptrend remains in place during a seasonally bullish time of the year.
