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Nasdaq: Does the Outlook Remain Negative?

Published 12/07/2022, 06:25 AM
Updated 07/09/2023, 06:31 AM
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  • S&P 500 December futures shorts at strong resistance at 4090/4110 are working exactly as predicted.
  • Nasdaq 100 December shorts are working with the break below 11750/700 yesterday, as predicted.
  • Emini Dow Jones futures break support at 33850/800 for a sell signal.
  • Emini S&P December collapsed from strong resistance at 4090/4110, hitting my target of 3970/50 and strong support at 3930/10. The low of the day was at the exact high and low for the move so far, as predicted a few days earlier. The bounce from 3930/10 meets strong resistance at 3960/70. A high for the day is likely. Shorts need stops above 3690.

    Support at 3930/10 is not expected to hold forever. A break lower on a second or third test is obviously a sell signal targeting 380/70 and then 3820/10.

    Nasdaq December breaks 11750/700 as predicted to hit my next target of 11550/500, with a low for the day exactly here. However, further losses are expected to 11250. Below 11200, look for 11000/10950.

    The outlook remains negative, of course, so gains are likely to be limited with the first resistance at 11630/690. Shorts need stops above 11770.

    Emini Dow Jones breaks support at 33850/800 for a sell signal targeting 33600 and support at 33300/200. A low for the day is possible, but longs are riskier in the bear trend. A break below 33000 is a sell signal targeting 32750/700.

    Gains are likely to be limited with resistance at 33800/900. Shorts need stops above 34000.

     

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