Upcoming Monthly/Weekly Analysis!FA Analysis:
1- World economy and US economy are slowing down and the fear of recession is here. This time the recession will be caused by both demand and supply. The last one was supply-based.
2- US politics is the definition of self-destruction: tariffs; throwing under the bus Europe, Canada, Mexico and all historic allies.
3- Inflation is up.
All these factors are bad news for equities and NQ.
4- Tax cuts is what investors and corporations are looking to boost up stocks and equities.
5- Next FED might provide free money (the printing machine) to address/delay the recession.
6- This week, we have key data and events.
Good news is good news for equities and vice-versa.
TA Analysis:
Monthly TF:
The monthly candle was a red candle but not really a bearish candle as no break happened.
From strictly TA analysis, nothing to do until price breaks either direction. But based on FA, I see price moving down to at least 18000 (38.2 fib).
Weekly TF:
NQ provided a bearish weekly close. However, price did not confirm a change of structure. Hence, bearers need to break and close quickly below 20529 to continue the down movement. Otherwise, price must go back to retest and grab liquidity at 21702.
My bias is with a direct continuation down.
Daily TF:
At daily TF, we've two scenarios:
1- A meaningful retrace to 21702 as price was unable to close below 20529 to grab liquidity from the previous swing high (orange circles).
2- A shy retrace to reflect the battle between buyers and sellers and a continuation down.
That's all for this upcoming Month/Week.
Wish you green pips! GL!
