Nasdaq: support bounce to feed new continuation?

Today's focus: NASDAQ (NDQ100)

Pattern – Continuation
Support – 15,015
Resistance – 15,435

• The Nasdaq led US indices on Monday, adding 1.05%
• Could this be the start of a new continuation higher?

Hi, and thanks for checking out today’s analysis. Today, our focus is on the NDQ100 index, and we are watching to see if yesterday’s rally and support hold could be the beginning of a new continuation pattern. In our last report, we discussed whether price could return to the main trendline after breaking its fast trend.

From here, we want to see buyers continue to push forward. Today’s retail sales at 8:30 could be a factor, and we feel that overly strong data could hurt stock indexes. A move back to support would be a worry and could show that buyer strength is not that strong currently. If we we see price continue to rally, 15,435 could be a first test.

Another news item to watch this week will be the FOMC meeting minutes. Buyers will be looking for a dovish tone from the Fed to help support upward momentum.

Have a great day and good trading.