Tech index facing must hold support test!

Sharing is Caring!

by Kimble Charting


This chart looks at the Nasdaq Composite Index over the past 22-years on a monthly basis. The chart highlights that the index has spent the majority of the past 18-years inside of rising channel (1).

The rally off the 2009 lows hit the top of the channel a couple of months ago at (2), where it looks to have created a bearish hanging man pattern as it kissed the underside of the rising channel. It hit resistance as momentum is the highest level since the highs in 2000.

READ  Bitcoin Head and Shoulders Top? Watch This Support Level!

Selling pressure over the past 6-weeks has this important tech index testing 9-year rising support this month as momentum looks to be moving lower after creating lower highs.

READ  9 out of the 10 House Republicans that voted to impeach Trump are now facing primary challenges.

The long-term trend for this index remains up for the Nasdaq composite index, as it faces one of its most important support tests in the past 9-years at (3). If dual support would not hold at (3), look for selling pressure to ramp up!


Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.