Following yesterday’s FED meeting, we saw a nice upside move which is clearly recognizable by the long white candle which went up and through all resistances levels ( TS , KS , Mid Bollinger Band and clouds) in this 4 hours time frame.
As a result, the NQ1 reached an intraday high of 16’431.50 and is now showing some lack of momentum.
Indeed, looking back we can see successive former top around those levels.
Therefore, ongoing candle closing level will be important, as a failure to clearly move and hold sustainably above 16’450 would probably trigger another selling wave.
On the downside, the former cluster resistance, currently around 16’100 should be the first significant support zone to look at very carefully in that 4 hours time frame.
This area, also coincides with the clouds support zone and a failure to hold above the clouds would also add further pressure to the downside.
Below the clouds, next support to watch at is the new short term uptrend support line (in green) which is currently around 15’790.
Watch shorter intraday time frames which will help you to validate or invalidate implications on both sides.
Last but not least, the Head and Shoulders mentioned in previous analysis is still alive…and not dead yet !
Ironman8848 & Jean-Pierre Burki
All views expressed on my analysis are my own and do not represent the opinions of any entity, whatsoever with which I have been, I am now or I will be affiliated with. Any action you take upon the information on those analysis is strictly at your own risk and should not be considered as an advisory. The author assumes no responsibility or liability for any errors or omissions in the content of his analysis. The information contained is provided on an «as is» basis, with no guarantees of completeness, accuracy, usefulness or timeliness and without any warranties of any kind whatsoever, express or implied.