Descending Triangle Formation with Bullish Breakout Potential

2 May

The NASDAQ (US100) is currently forming a descending triangle pattern with a clear A-B-C-D-E wave structure, signaling price compression and consolidation.

🔍 Key Insights:

The previous move was strongly bullish, increasing the probability of a continuation after consolidation.

A potential breakout above the descending trendline (blue resistance) could trigger a sharp upward move.

Target zones:
✅ First target: 20,060.6
✅ Second target: 20,573.9

Key support zone: 19,524.7 – this area acted as a launchpad for the previous bullish impulse and confirms the base of the triangle.

🧠 Suggested Strategy:
Wait for a confirmed breakout with volume. Look for entries on a pullback toward the 19,811.1 zone – ideally with a bullish continuation candle.

📊 Additional Context:
These types of consolidation patterns often lead to explosive moves. Patience and risk management will be crucial here.

2 May

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