News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
Wall Street
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
More View more
Real Time News
  • The continuity seen across these volatility cycles is a good thing. Historical precedence offer a blueprint for identifying conditions supportive for a vol-event to occur, and how they may unfold. Deepen your knowledge of historical volatility here: https://t.co/vg7w10la3j https://t.co/7Yd5Tzua0d
  • Do you know the difference between investing and trading? Because while the goal might seem the same, they're very different things . Learn more here.https://t.co/fG6fNEPj9q https://t.co/A0W3CA5EWh
  • The Canadian Dollar remains supported amid elevated crude oil prices. Don’t be surprised if the Bank of Canada disappoints aggressive hawkish expectations. Earnings season is a wildcard. Get your weekly Loonie forecast from @ddubrovskyFX here: https://t.co/iyb5OmW2S4 https://t.co/Oh35VUg9Gr
  • Rather than focusing on earning a specific number of pips per day, traders need to focus on what can be controlled. In trading terms this relates to following a strategy perfectly, with no emotion or hesitation. Learn more here: https://t.co/6ZH026QLRN https://t.co/jQ9HH9KuWy
  • Slippage can be a common occurrence in forex trading but is often misunderstood. Understanding how forex slippage occurs can enable a trader to minimize negative slippage, while potentially maximizing positive slippage. Learn about FX slippage here: https://t.co/Blrl0uF2Ct https://t.co/VXiNCuR3bF
  • The Spinning Top candlestick pattern forms part of the vast Japanese candlestick repertoire with its own distinct features. Gain a better understanding of the spinning top candlestick here: https://t.co/DWm7cBMUg9 https://t.co/9SC4I69oi7
  • The European Central Bank will consider it a job well done if there is no movement in EUR/USD or the Euro crosses before, during or after Thursday’s policy announcements by its Governing Council. Get your weekly Euro forecast from @MartinSEssex here: https://t.co/TCTonpE9Ik https://t.co/qq6TTaPtLE
  • Further your forex knowledge and gain insights from our expert analysts @ddubrovskyFX and @FxWestwater on JPY with our free Q4 market analysis guide, available for free today.https://t.co/mzeJ5x73N3 https://t.co/zll2sxL4ja
  • Becoming a forex trader means living and breathing the excitement, risk and reward of trading in the biggest and most liquid market in the world. Do you have what it takes? Read here to discover the qualities and processes it takes to build consistency: https://t.co/EfWEACQ6Cz https://t.co/Js6SNdNj9y
  • Looking for a new way to trade reversals? One of the most used reversal candle patterns is known as the Harami. Like most candlestick formation patterns, the Harami tells a story about sentiment in the market. Get better with trading reversals here: https://t.co/kIIBffEMi7 https://t.co/MqFQ9uS26R
Nasdaq 100 Technical Outlook in for a Big Test in Days, Weeks Ahead

Nasdaq 100 Technical Outlook in for a Big Test in Days, Weeks Ahead

Paul Robinson, Strategist

Nasdaq 100 Technical Highlights:

  • Falling back towards a retest of the top of the bull market channel
  • Whether it holds or not could hold major big-picture ramifications for global stocks
Advertisement

The recent breakdown in the stock market again has the bull market leading Nasdaq 100 on the cusp of testing an important long-term threshold. It is perhaps one of the most important technical signposts in any market. The NDX represents the market leaders (FANMAG+T) that the overall US market relies on, and by extension global markets also rely on. Furthermore, the NDX has undergone a particular price sequence that represents a potentially massive make or break situation.

For some time, we have been discussing the relevance of the channel observed on the weekly/monthly time-frame when looking at an NDXlog chart. It has acted as a reliable guide the past nearly three years with three peaks and two troughs occurring on the upper and lower parallels.

In July, though, the NDX left the confines of the pattern, which effectively put it into no man’s land. When the neat confines of the bull channel were left behind it opened the door for a strong, if not parabolic, move as often these patterns do regardless of the time-frame. It still could go vertical as long the index can stay on the outside of the formation.

But it needs to hold the top line.

The top of the channel was tested in September and held well; will the next test hold the same fate? It appears we may find out very soon. If it does hold, then the market lives to fight another day or better. If the NDX doesn’t and drops below the September low at 10677 on a weekly closing basis, then we will have the NDX failing to maintain its upward thrust out of the pattern, and it will be considered an exhaustion sequence that leads to a strong change of trend instead of the beginnings of what may have amounted to a ‘blow-off’ stage in the extended bull market.

The bottom line is this – stay above the upper parallel and September low and the outlook is neutral to bullish. Fall back inside the channel and the outlook will quickly turn towards potentially seeing the Nasdaq 100 trade down to the lower parallel of the bull market channel. That level lies somewhere in the 8000s at this juncture, indeed a hefty decline it would be.

Nasdaq 100 Weekly Chart (Top of channel test nearing)

NDX weekly chart

Nasdaq 100 Daily Chart (broken trend-line, sept low looks next)

NDX daily chart

Nasdaq 100 Charts by Tradingview

Tools for Forex Traders

Whether you are a beginning or experienced trader, DailyFX has several resources available to help you; indicator for tracking trader sentiment, quarterly trading forecasts, analytical and educational webinars held daily, trading guides to help you improve trading performance, and one specifically for those who are new to forex.

---Written by Paul Robinson, Market Analyst

You can follow Paul on Twitter at @PaulRobinsonFX

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES