- Head and shoulders pattern currently playing out.
- Price was supported strongly both times that it came down to the $15 support area.
- Currently price has pushed above the H&S neck line indicating the pattern may be failing, although the current candle is a Doji, which indicates there is market indecision.
- A break down below $15 support would indicator a strong bearish move to the downside.
XIJ - Daily Chart (Information Technology Index)
- XIJ is showing a potential Bearish Flag setup.
- If support around 1170 is broken then next support should be around the long standing uptrend line/and or the 100 day MA, which ever comes first.
- A similar set-up is playing out on the XJO - ASX200
Nasdaq Daily Chart (US - Tech Index)
For those that follow the US indices and find a correlation between US and Australian stocks.
- Nothing of any real concern here yet, the Nasdaq still respecting current up trend line.
- Although on the last 2 occasions of a high volume/narrow spread candle sell day, there was a followed small correction.
will it do the same for a third time..?
