Uptrend or Reversal? Unpacking a Case for NAS100! The NAS100 has been trending bullish recently, but when we zoom out to a higher timeframe, there’s a case to be made for a potential bearish opportunity. In the video, we explore the trend, price action, and market structure, analyzing how it’s approaching a key resistance level. We also discuss a possible trade setup if the conditions align. This is not financial advice.
Us100
NAS100USD: Structural Weakness Points to Bearish BlueprintGreetings Traders!
In today’s analysis, although NAS100USD maintains a bullish stance, there are signs of potential bearish momentum that may align with minor objectives.
Key Observations:
1. Rejection Block Resistance
Price action is currently held back by a rejection block, signaling a struggle to achieve higher highs. This resistance suggests weakness in upward momentum and the possibility of a shift.
2. Engineered Trendline Liquidity
A trendline liquidity pool has formed below the current price level. With the rejection block preventing further upside, it’s likely that institutions will target this liquidity as the next objective.
Strategy:
By recognizing the structural constraints and liquidity targets, we can prepare for potential bearish moves. The key will be observing confirmation of downward momentum before executing trades.
Let me know your thoughts or share insights in the comments. Let’s refine our strategies together!
Kind Regards,
The Architect
NASDAQ EVEN BETTER THAN PLANNEDThe new blue line is our new ideal forecast, staying in between the possibilities the green and lower blue lines give, but wow this is even bigger than we thought. We caught a good one.
Technical Analysis:
The NASDAQ 100 index has shown strong upward momentum, recently breaking out above a key resistance level at 15,000. It is trading above its 50-day and 200-day moving averages, signaling a sustained uptrend. The RSI is trending higher but remains below overbought levels, indicating further upside potential. MACD has crossed into bullish territory, confirming positive momentum.
Immediate resistance lies at 15,500, with a break above this level potentially targeting 16,000, the year’s high. On the downside, 15,000 now acts as key support, with additional support at 14,700. The index remains in a solid uptrend, supported by higher lows and strong buying pressure on dips.
Fundamental Analysis:
The NASDAQ is benefiting from a favorable macroeconomic environment and strong earnings reports from major tech companies. Optimism around artificial intelligence and innovation continues to drive investor interest, with tech stocks leading the charge.
Meanwhile, the Federal Reserve’s signal that it may pause further rate hikes due to cooling inflation has supported growth stocks, which are highly sensitive to interest rate changes. Lower yields also make tech valuations more attractive, fueling buying interest.
Additionally, the U.S. economy has shown resilience, with solid GDP growth and a strong labor market. This combination of steady economic conditions and a less aggressive Fed has created a favorable environment for the NASDAQ.
Key Catalysts to Watch:
Upcoming earnings reports, especially from major tech companies.
Federal Reserve updates, including comments on interest rate policy.
U.S. economic data, such as inflation and GDP figures.
Sentiment around innovation sectors like AI, semiconductors, and cloud computing.
XAUUSD, EXCACTLY AS PLANNED IN OUR LAST POSTTechnical Analysis:
XAU/USD (Gold) has shown strong bullish momentum, trading comfortably above the 50-day and 200-day moving averages, which signal a sustained uptrend. The price recently broke a key resistance level at $1,950, which now acts as strong support. Momentum indicators like the RSI are in bullish territory but remain below overbought levels, suggesting room for further upside. The MACD histogram is widening, indicating increasing bullish momentum.
The next key resistance lies at $2,000, a psychological level, followed by $2,030, a recent multi-month high. A confirmed break above $2,000 could set the stage for a move toward $2,050. On the downside, support at $1,950 and $1,920 will be critical to watch for any potential retracement.
Fundamental Analysis:
Gold's bullish outlook is driven by a combination of macroeconomic and geopolitical factors. Concerns over global economic slowdown, persistent geopolitical tensions, and central banks maintaining high levels of gold reserves are supporting safe-haven demand.
In the U.S., softer inflation data and dovish signals from the Federal Reserve have weakened the dollar, making gold more attractive for international buyers. Additionally, Treasury yields have started to stabilize, reducing the opportunity cost of holding non-yielding assets like gold.
Furthermore, with the Chinese economy showing signs of recovery and increased demand for physical gold from Asia, gold prices are expected to remain well-supported in the near term. Central bank buying also continues to provide a long-term tailwind for prices.
Key Catalysts to Watch:
U.S. economic data, particularly inflation and labor market reports.
Fed policy updates and FOMC meeting minutes.
Developments in geopolitical hotspots that could spur safe-haven flows.
Demand trends from major gold-importing countries like China and India.
CHFJPY ON THE MOVETechnical Analysis:
CHF/JPY continues its bullish trajectory, trading above key moving averages, including the 50-day and 200-day lines. The pair recently broke above resistance at 151.50, now turned support, with the next resistance zone at 153.00. Momentum indicators like RSI remain strong but not yet overbought, while the MACD confirms the upward trend. A sustained break above 153.00 could target 154.50 in the near term.
Fundamental Analysis:
The Swiss franc remains supported by safe-haven demand, while the Japanese yen is pressured by the Bank of Japan's ultra-loose monetary policy. Despite minor adjustments to yield curve control, the BoJ’s dovish stance contrasts with Switzerland's relatively steady monetary environment. This policy divergence and risk sentiment dynamics favor CHF appreciation against JPY.
USDCHF GOING UPTechnical Analysis:
The EUR/USD is showing bullish momentum, breaking above key resistance levels. The pair is trading above its 50-day and 200-day moving averages, confirming an uptrend. A bullish crossover in the MACD and rising RSI suggest further upside potential. Key resistance is at 1.10, with support holding strong at 1.085. A breakout above 1.10 could open the path toward 1.12.
Fundamental Analysis:
The Euro is supported by robust economic data, including better-than-expected PMI figures and hawkish signals from the ECB. Meanwhile, the USD is under pressure as the Fed signals a pause in rate hikes amid cooling inflation. Diverging monetary policies and improving sentiment in the Eurozone favor further EUR/USD gains.
EURUSD GOING UPEUR/USD: Why It’s Heading Higher
Technical Analysis:
The EUR/USD is showing bullish momentum, breaking above key resistance levels. The pair is trading above its 50-day and 200-day moving averages, confirming an uptrend. A bullish crossover in the MACD and rising RSI suggest further upside potential. Key resistance is at 1.10, with support holding strong at 1.085. A breakout above 1.10 could open the path toward 1.12.
Fundamental Analysis:
The Euro is supported by robust economic data, including better-than-expected PMI figures and hawkish signals from the ECB. Meanwhile, the USD is under pressure as the Fed signals a pause in rate hikes amid cooling inflation. Diverging monetary policies and improving sentiment in the Eurozone favor further EUR/USD gains.
Keep an eye on upcoming ECB speeches and U.S. employment data for potential volatility.
AUDJPY NEXT STEPAUDJPY is falling towards these two red lines ;
the first line is obvious, the tough thing to forecast is what's happening after reaching this one, does it go back up before reaching the next one ?
For us, its should be a "head and shoulders" pattern, meaning some pretty smooth but sure descent towards lower prices, without going back up.
US100 Trade LogMarket Context:
- The CPI session’s top wick aligns with a 4H FVG rejection , signaling a high-probability short setup. Oscillators confirm exhaustion, supporting bearish momentum.
Trade Parameters:
- Risk-to-Reward Ratio: 1:2 minimum .
- Base Risk: 1% account risk for initial positions.
- Additional Risk: Two half-contract size positions added, bringing total risk to between 1% and 2% to capture extended targets if price runs higher.
Missed Entry:
- Ideal short entry at the 0.5 level of the FVG , confluenced with the daily Kijun resistance. Hesitation led to a missed opportunity.
Retracement Importance:
- Small retracements, while frustrating, are necessary to sustain upside momentum. They provide clean re-entry points for continuation trades.
Conclusion:
- Strategic use of added risk positions and focusing on high-probability zones like FVGs and Kijun levels is crucial for optimizing profits.
NASDAQ How to trade this Falling Wedge.Nasdaq is trading inside a Falling Wedge for exactly 1 month, since the December 16th 2024 High.
The current bullish wave has been rejected on its top but today is holding the MA50 (4h) so far.
The previous bearish waves that got rejected on the Wedge's top, gave a confirmed sell signal after the MA50 (4h) was crossed.
Trading Plan:
1. Sell below the MA50 (4h) and Channel Up (bullish wave).
2. Buy above the top (Falling Resistance) of the Falling Wedge.
Targets:
1. 20600 (symmetric higher lows trendline like January 2nd).
2. 21700 (Resistance 1).
Tips:
1. The RSI (1d) is trading above its MA trendline. This favors slightly the bullish trend.
Please like, follow and comment!!
Notes:
Past trading plan:
! REALLY NOT SURE ABOUT THIS ONE ! GBPJPY FALLINGSince there are no indicators except for the RSI, it would seem logical with the current drawdown and divergence for the price to keep falling ;
however there's nothing sure about this, it is just an arrow showing the potential direction,
we'll update if we get more info
AUDJPY GOING DOWNWe almost had the first part (you can take a look at the blue arrow on the 3rd of January), and it indeed reached the exact price we wanted it to (red dotted line)
However it has come back up since then, which shows that there's still a high buying volume for this asset.
But at some point, it is to come down and break the first red to reach the second lower red.
We made two possibilities for you to get the scheme.
EURUSD GOING UPLow RSI + two consecutive accumulation areas means EURUSD going up ;
however the question is after this small rally, what s happening ?
That s the 1000$ question, the two yellow lines you see on the chart show that none of these schemes is more likely than the other one, we simply have no idea for now.
We'll have to wait for new elements and KL to determine that.
USDCHF TOWARDS THE SKYThere's not a lot of indications for this one, since there's no accumulation to reach.
However the low and divergent RSI gives us an idea of where the price is globally going, which is up.
Will add more information asap, when a new interesting KL or AA (accumulation area) gets created.
CHFJPY STILL NOT SUREOn one hand, it has de go back up to reach the high of the blue rectangle ;
on the other hand, it is well gone for a big descent, and it would not be crazy to think the hard blue KL is the actual low.
We'll have to be careful over the next few days because they'll be decisive regarding the pattern the curb is taking.
No matter what happens, it is to go up, the question is where s the entry ?
GBPUSD BACK UPAfter a liquidation by going that low, GBPUSD is ready to go back up.
The two blue accumulation areas attract the price higher, first at the middle zone then at the higher zone.
The hard blue KL under the current price shows a break under this level is tough to imagine, so there's really only one way and it is up.