Recap Got the first half of the week correct with both the topping zone and the first downside target. The reaction to the 1st target, however, caught me by surprise. The week high was produced after 100% absolute range expansion was tagged. Closed the week near week high and Y+2.
Outlook A very powerful short squeeze in progress. As reported from various sources, large macro funds are suffering throughout November and I can see why.
Critical long term resistance zone right here to slightly above. Should NQ failed to clear this zone and drops back down to below Y+1 / B-0 on weekly close basis, it is likely we just printed the swing top for the coming few months.
Following is the chart posted here back in the beginning of May from a previous Market Internals Update.
Who says breadth analog models do not work?
The Tick16 Short Term index is ...
Nasdaq 100 Dec 03 to Dec 07 Outlook
Lawrence’s Comment
Got the first half of the week correct with both the topping zone and the first downside target. The reaction to the 1st target, however, caught me by surprise. The week high was produced after 100% absolute range expansion was tagged. Closed the week near week high and Y+2.
Outlook
A very powerful short squeeze in progress. As reported from various sources, large macro funds are suffering throughout November and I can see why.
Critical long term resistance zone right here to slightly above. Should NQ failed to clear this zone and drops back down to below Y+1 / B-0 on weekly close basis, it is likely we just printed the swing top for the coming few months.
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