Nasdaq 100 Ascends Through a Rising Wedge

Nasdaq 100 has been making headlines recently, as it has been ascending through a rising wedge on the daily chart. One of the key observations is the shift in control from the Bears to the Bulls. Previously, the Bears had been capitalizing on supply zones for short positions. However, with the recent shift in control to the buyers, the formerly formidable supply zones have now transformed into support zones, bolstering the ongoing uptrend.

US 100 Significant Zones

Demand Zones: 12864.10, 11880.10, 10691.10
Supply Zones: 13703.10, 14282.10, 15000.10

Nasdaq Long-Term Trend: Bullish

The downward price direction was initiated in September when the Stochastic indicator was overbought at the supply of the Bollinger Band. This led to the Bears filling more sell orders during the retracement to the 12864.10 supply zone. However, a bullish reversal occurred in the last month, but the subsequent price rise was futile in breaching the 11880.10 supply zone.

The second attempt by the Buyers was successful, as they managed to push through the 11880.10 supply zone. After encountering supply at 12864.10, the market retraced and gained bullish momentum at 11880.0, with the previous supply zone now acting as a support to propel the market above 12864.10. This shows the importance of understanding the role of support and supply zones.

Nasdaq Short-Term Trend: Bullish

A retracement to the former supply zone of 12864.10 has been observed, indicating a recurring form of resistance turning into support. The price is expected to rise towards the next supply zone of 13703.10. With extra support from the ascending trendline, a bullish confluence zone is anticipated to provide buying opportunities for traders and investors.

In summary, the Nasdaq 100 has been ascending through a rising wedge on the daily chart, presenting both opportunities and risks for traders and investors. The shift in control from the Bears to the Bulls has transformed former supply zones into support zones, highlighting the importance of understanding support and supply in market analysis. As traders and investors continue to monitor the key zones and trends, they can make informed decisions and capitalize on potential opportunities.

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