Nasdaq on a crosshair

12 May 2021

Nasdaq is at a hairs length distance from it's 61.8% retracement of last rally. 12875 to 12925 area is critical. Also a trendline that has proved valid in the past is crossing this area as I write. Both occasions in which prices bounced off this trendline were characterized by an RSI divergence which is what might be happening right now, still nothing is confirmed. Personally i'm going to take long positions at the levels I mentioned and see if we get a decent reaction off these levels. A close below these levels opens a completely new scenario.

13 May 2021

Not

12925 HIT AND BOUNCED. We may have seen a short term low. Trading now @ around 12970. I'm long @ 12945, but ready to get out if it starts selling off again.

13 May 2021

İşlem aktif

Needs to close TODAY above 13400, else Nasdaq will go sideways to downwards.

14 May 2021

Emir iptal

Market failed to recapture 13400 which was naturally followed by heavy selling in the last minutes. I still don't see it go down just yet, but yesterdays failure off the 0.618 retracement level (12925) is very concerning. For me this trade is closed. I'll follow up soon with a revised wave count.