Could Nasdaq 100 Trigger Another Quick Drop?
Could Nasdaq 100 Trigger Another Quick Drop?
11/07/18 INSIIDE Track Stock Index Update: Stock Indices continue their volatility… That action reinforced intermediate analysis for the DJIA to see an overall rally into Nov. 19 – 23 – in line with the cycles and weekly trend timing factors previously discussed. That would also be in sync with the ongoing outlook for 2018, which involved expectations for a sharp drop into late-Oct. followed by a rebound into late-Nov./early-Dec. Today’s surge further corroborated all this.
One important distinction should be kept in mind. An overall rally into Nov. 19 – 23 does NOT mean an uninterrupted advance until then. The markets could top this week (in line with the 5- & 10-week cycles in the Nasdaq 100), pull back next week, and then simply rally back to these (Nov. 8 or 9) highs on Nov. 19 – 23. By themselves, the cycles do not distinguish price levels. Other indicators need to clarify that.
The NQZ just reached its weekly resistance, weekly trend point, descending weekly 21 Low MAC and initial upside target… weekly resistance (7210 – 7261/NQZ), that could trigger another quick, 1 – 3 day pullback – potentially bottoming on Nov. 12.”
Stocks continue their rallies from decisive cycle lows in late-October, with the DJIA leading the way and expected to remain stronger as tech stocks lag. The Nasdaq 100 rallied right to multiple upside targets and resistance levels and is likely to see another a quick, sharp drop into Nov. 12. The action of late-Sept. – early-Nov. ’18 is powerfully corroborating what is expected for late-2018/early-2019.
Refer to latest Weekly Re-Lay & INSIIDE Track publications for additional details and/or related trading strategies.