Technical Recap (NQ) – 10/8/2021

NQ 120-min


● NQ has been bumping up against SMA(200) resistance since mid-Sept

● It hit 15K psychological resistance level yesterday and again today

● Odds are increasing that we’ll revisit 14,700 level (50 SMA and 23.6% Fib retracement) especially given another double top (similar to 9/24-9/26), but…

● Weakening momentum (3/10 oscillator) is saying that the bottom (14,367) may be in through the end of 2021

● However, it’s possible that we could see one final near-term (5th EW) leg down below the 14,367 low from Monday, but it most likely wouldn’t be much below 14K.

NQ daily

● NQ daily chart remains in an uptrend channel that began over a year ago.

● If a break below 14,367 happens, look for the SMA(200) to hold support.

● Waning downward momentum on the daily chart currently looks bullish.