breaking news Nasdaq Technical Analysis: The Recent Bull Rally Is Real. Waiting for next 13000.

The following Nasdaq technical analysis breaks down price action and charting techniques into:

1. Resistance and support levels, focusing on the weekly price chart in this case
2. Moving average

   Moving average
   

   A moving average is a statistical tool used to smooth short-term fluctuations in data and reveal longer-term trends. It is calculated by taking the average of a number of data points over a specific period of time and then plotting that average as a line on a graph. The most common types of moving averages are simple moving averages (SMA) and exponential moving averages (EMA). In financial markets, moving averages are often used to analyze stock prices, exchange rates, etc.
   

   A moving average is a statistical tool used to smooth short-term fluctuations in data and reveal longer-term trends. It is calculated by taking the average of a number of data points over a specific period of time and then plotting that average as a line on a graph. The most common types of moving averages are simple moving averages (SMA) and exponential moving averages (EMA). In financial markets, moving averages are often used to analyze stock prices, exchange rates, etc.
   

   Read this term indicator to get another view of the market trend
3. Trend lines
4. Candlestick

   Candlestick
   

   Candlestick charts are used by traders to depict the price movements of any asset or security, including stocks, currencies, etc. Candlesticks can be broken down into any time frame, including one-minute periods, or most commonly one day. to a bar chart in that each candlestick represents the four important pieces of information for that day. This includes the open and close in the thick body, as well as a high and low in the candle wick. These visualized tools are instru
   

   Candlestick charts are used by traders to depict the price movements of any asset or security, including stocks, currencies, etc. Candlesticks can be broken down into any time frame, including one-minute periods, or most commonly one day. to a bar chart in that each candlestick represents the four important pieces of information for that day. This includes the open and close in the thick body, as well as a high and low in the candle wick. These visualized tools are instru
   

   Read this term patterns
5. Certain technical indicators, as they will be presented

In a nutshell, the Nasdaq’s recent 18% surge of approx. 10750 to 12700, seems solid and I show below where I see signs of support for it. In light of recent price action, I am looking at 13000 as the next target for the Nasdaq.

NQ weekly analysis based on support and resistance

Resistance and support levels define the boundaries between the ranges in which the price of an asset is most likely to encounter selling (resistance) or buying (support) pressure.

Weekly NQ analysis based on moving averages

A kind of trend-following indicator, moving averages plot the average price of the asset over a specified period of time. Market patterns and possible reversal times can be detected using moving averages. The following weekly chart with the 20EMA shows that the bulls are in control. Watch if and when a weekly prize closes below the 20EMA, then the bears will likely regain control.

NQ weekly analysis according to trend lines

Understanding the price trend of an asset can help traders decide when to join and exit trades, especially because trends often last longer than expected. In the case of our current Nasdaq weekly analysis, price must hold above this annual key resistance line to maintain their optimism.

NQ weekly analysis according to candlestick patterns and RSI technical indicator

Candlestick patterns are a specific type of chart pattern that can be used to gain insight into the nature and magnitude of price changes over a period of time. Candlestick patterns are even a more reliable method of predicting market reversals and validating trend persistence, when technical analysis includes the use of a popular technical indicator such as the Relative Strength Index (RSI), Moving Average Convergence Divergence (MACD), and/or Bollinger Bands

See how the above relates to our weekly Nasdaq analysis:

In summary, the Nasdaq looks firm on the weekly timeframe

The recent rally seems warranted, based on previous technical indications. Still, it might start to look extended soon, so watch the 13,000 area next as profit takers might be waiting just above.

Do you agree or disagree with the above analysis and general biases? Do you have any ideas to add? Please provide your comments below in the comments section and always trade at your own risk. Visit us at Forexlive.com for additional views. THANKS.