Recap As oppose to just move up to B+3 target area, NQ simply gap above B+1, forcing a fierce short cover rally in the beginning of the week. Then news shock sending it all the way back down to below Y+1 as many people tried to pick the bottom at Y-0 to Y+1 thinking that the daily selloff is over. The downside momentum was so huge that Y-0 turned into resistance, forced NQ to drop below Y-1.
Outlook Outside down week is quite bearish. But, it was caused by multiple news shocks, so it is not normal market dynamics. A break to below Y-2 with a quick reversal back above B-1 points to a bottom in place. Y-0 is now strong resistance and also a magnet to run up to once a rally has started.
Lawrence's Comment
Recap
Attempt to form higher timeframe bull flag failed. Daily bull flag upside breakout gave us Y+1 and then Y+2. Closed the week above Y+1 and midpoint.
Outlook
Strong uptrend ...
Lawrence's Comment
Recap
There is a data problem with the chart. The high made in the beginning of the week was just a little above Y+1. It was a FBO against Y+1 ...
Nasdaq 100 Jun 06 to Jun 10 Outlook
Lawrence’s Comment
As oppose to just move up to B+3 target area, NQ simply gap above B+1, forcing a fierce short cover rally in the beginning of the week. Then news shock sending it all the way back down to below Y+1 as many people tried to pick the bottom at Y-0 to Y+1 thinking that the daily selloff is over.
The downside momentum was so huge that Y-0 turned into resistance, forced NQ to drop below Y-1.
Outlook
Outside down week is quite bearish. But, it was caused by multiple news shocks, so it is not normal market dynamics.
A break to below Y-2 with a quick reversal back above B-1 points to a bottom in place.
Y-0 is now strong resistance and also a magnet to run up to once a rally has started.
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