NASDAQ Technical Analysis Weekly – June 14 2016
Key Resistance: 4698.37
Minor Support: 4400.81
Major Support: 4298.37
Trading Stance: We will look for buying opportunity with price action confirmation signal since the price is approaching towards the major support level.
Figure: NASDAQ technical analysis, daily
The long-term uptrend is still intact and the current price is now at the minor support level 4400.81.Keeping the current selling pressure in mind we can assume that the price will reach the next key major support level 4298.37.Traders can look for price action confirmation signal to enter their long trade with a tight stop loss at the major support level with an initial target for the key resistance 4698.37.
On the contrary, if the price breaches the major support level we can assume that long term uptrend is at risk and the next potential support is at 3862.25 low of 11th February. A clear decisive break of 11th February low (3862.25) confirms the formation of the new downtrend.