Tuesday, 3 December 2013

Nikkei testing key down trend line drawn from 1991 and 2007 highs

Will a new leg of the down trend begin?

Last night's NASDAQ 100 low is KEY for it and the broader US stock market

Long term daily chart shows the NASDAQ 100 sitting atop a five year old trend channel. Apologies for not using a weekly chart, but I have no time to grab one now.

Zooming in shows that last night's low is key. Below that level and the NASDAQ 100 will return to the channel, completing a false break - a bearish edge. If (IF) the NASDAQ 100 heads lower the broader US market will too.