Nasdaq 100 and 78.6%
We have been doing updates on the NASDAQ 100 futures on our website, in Videos and on Barchart.com. We will start with the 2/2/23 high for this update, you can go back and see what levels were hit before this in those previous posts.
The 2/2/23 high hit 38.2% back to the ATH at 12,913, this was also a major Gann square and the long term swing point. The long term target from here would be for new lows. The previous low was 38.2% back to the 2009 low and 61.8% to the 2020 low in October and then again in December, so this would be a major area to take out for the long term trend. We will update targets if this does happen.
The retest of the high on 2/2/23 on 2/16/23 hit 78.6% at 12,800 and that is where the bigger break came from. The setback held 38.2% back to the last year's low at 11,942 on 2/24/23 and sat on this level for the last 3 weeks. It did have one close below it, but failed to get the second lower close in a row to confirm the violation of this level. The rally from this area has now taken it to 78.6% of the 2/2/23 high and 2/13/23 low.
As we have said in our Videos and Posts that this is an area where a lot of bull runs end and start. The low on 12/28/22 hit 78.6% and that's where the last rally started from. With today's high at 78.6% the first target will be 78.6% the other way, per the ONE44 78.6% rule at 11,942, this would put it back into the major Gann square and 38.2% of the last run up. Can it be the end of this run higher as well, in short order we should find out, so keep watching for our posts and Videos.
Failing to get a turn lower from the 78.6% level and a close above 12,913 will turn the long term trend positive and the target will be 61.8% at 14,350, also watch the major Major Gann square before then for resistance.
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