- Short-term trading levels and lines
- The having a lot of difficulty overcoming resistance in the 2130s
- The 100 remains postured poorly, with its own levels to overcome to turn it around
Looking to the downside on a hold below the 2130s, we have minor support right around where we closed yesterday at 2124/25, but not looking to it as very meaningful. The next likely support comes in at Friday’s low of 2119 and the lower parallel belonging to the 10/24 channel, then the important daily low at 2115 comes into play. Below 2115 things could get interesting as there is nothing highly visible on the daily chart until perhaps the psych-level at 2100 and lower parallel at around 2093.
The Naz is sitting below key trend-line resistance running up from the 9/12 swing low, still in a solid downtrend from the 10/25 high. This continues to keep the index pointed lower until it can turn momentum upward and begin arching over key resistance levels. The first level of resistance to maintain is the 10/20, 10/28 lows (4806) and steeply-angled trend-line off the 10/27 gap open high, where the market is treading around now. The first truly meaningful form of resistance comes in at the bottom-side of the 9/12 trend-line (~4820), beyond there the 10/25 trend-line and horizontal resistance running back to 10/3 (both in the ~4040/48 vicinity).
Looking lower, support comes in at the 10/28 low and pivots running back to 9/8 (~4794/87). Below there lies an air pocket down to the 10/13 low at 4760.
—Written by Paul Robinson, Market Analyst
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