I believe the top on nasdaq (which is the leading index IMO) is in. Based on the A-B pattern (5700-7800) from the dec 2018 low, we can make an extension showing the key levels. 1.18, 1.27 and 1.618 (the golden extension). the top of the weekly wedge started mid 2018 has been hit and corresponds to this 1.618 extension. we have a very high oversold condition and divergence on macd and on RSI. I do think there is still a possibility for one more leg but the probability is low. this would be 9700 using the distance of the head and shoulder pattern (from shoulder to base) extending it from the neckline - that gives us 9700. I originally tried to short at the 1.27 8500 with a tight stop and then waited for the current extension. I am short with entry 14/01 at 9077.
If you like my idea please give me a thumbs up.
Thankyou
If you like my idea please give me a thumbs up.
Thankyou
