Good Friday all. We’re at a very key potential turning point in the
market, one that’s likely going to really define the markets’ next big
move as soon as next week. We were anticipating a definitive move this
week, but it just hasn’t happened yet.
Like we said on Wednesday, we’re still pretty convinced the NASDAQ is
going to close above its 3X3 DMA (blue line) on its daily chart this
week, which appears to be the case so far on the day today. If that does
end up taking place today, early next week becomes very significant,
specifically Monday or Tuesday.
Basically, should the NASDAQ close above 5,851 today, and more importantly closes below that number either Monday or Tuesday, the technical event will confirm a very key reversal signal, once that could end up being the first sign of a much bigger market selloff.
However, should the NASDAQ somehow continue working its way higher, and more importantly finds its way above 5,880 at any point today or early next week, the potential reversal signal will have ended up being all for not.
Again, it’s a hurry up and wait scenario, but one very well worth sticking with for the time being, because when it comes to these type of potential reversal signals, the end result couldn’t be more polarizing. Meaning, depending on what ends up taking place, the markets’ next move should be very significant.
The bottom line is we’re definitely not interested in jumping the gun on anything today in advance of what may or may not happen as soon as early next week, so just go ahead and have a great weekend, and we’ll see you on the other side.
Basically, should the NASDAQ close above 5,851 today, and more importantly closes below that number either Monday or Tuesday, the technical event will confirm a very key reversal signal, once that could end up being the first sign of a much bigger market selloff.
However, should the NASDAQ somehow continue working its way higher, and more importantly finds its way above 5,880 at any point today or early next week, the potential reversal signal will have ended up being all for not.
Again, it’s a hurry up and wait scenario, but one very well worth sticking with for the time being, because when it comes to these type of potential reversal signals, the end result couldn’t be more polarizing. Meaning, depending on what ends up taking place, the markets’ next move should be very significant.
The bottom line is we’re definitely not interested in jumping the gun on anything today in advance of what may or may not happen as soon as early next week, so just go ahead and have a great weekend, and we’ll see you on the other side.
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