Daily NASDAQ Trading Setup

by: Colibri Trader

Last time’s trading analysis has turned out pretty much as expected. All-in-all range trading and not a great long/short opportunity. It seems like DAX will really spend some more time in hesitance. Now, it looks more bullish than bearish, but it is still not giving a clear indication of trend direction.

I am curious to see if DAX manages to break through the 12250 barrier and hold there for a while. It is very likely that it will fail those highs and go lower.

Since I am not convinced in any of those two scenarios, I will leave DAX on the sidelines for the time being.

Daily NASDAQ Trading Setup

It has been a while since I last spotted a NASDAQ trading setup. It is definitely not my “cup-of-tea”, but I am sure there are plenty of you out there trading it.

It seems like NASDAQ is failing to make a new high. So, if not a new high, maybe it is ready for a small/medium dip.

Price action is confirming this point of view. There is a huge bearish engulfing candle on the daily chart. I am curious to follow the intraday price action and possibly a bullish rejection around 5930 could be an indication of a weakness.

If you have your own reasons to short NASDAQ, this might be just one more reason. I will be following closely tomorrow and decide if the R:R is worthwhile taking this trade.

A hypothetical stop-loss could be above 6000. A possible price target might be first 5800 and then 5600 (depending on PA).

Happy Trading,
Colibri Trader


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You might also check how I analyse Symmetrical and Ascending Triangles

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