Monday, October 09, 2017

Tech Averages Finish Positive

Friday was a lacklustre day and there was little outside of Tech averages of interest. The Nasdaq and Nasdaq 100 finished higher - holding their breakouts. Momentum and long-term holders have little reason to sell, but taking partial profits would be prudent.

Best of the action was reserved for the Nasdaq and Nasdaq 100; each finished at the highs of the day without doing much. The Nasdaq 100 holds its breakout along with the Nasdaq. What's key for these indices is that breakouts old.  Technicals are all bullish.



The S&P tagged upper channel resistance and Friday didn't make much progress beyond this. The pattern to Thursday suggests a Bearish Doji Harami which offers a chance for shorts to take a play with a stop above 2,553.


The Russell 2000 has stalled a little after substantial gains since August. The area where it stalled was a resistance area but the fact it has held these gains in tight action near highs suggests there is more to come for the coming week. Why technicals suggest 'short' this might be the better 'long' or swing trade. Technicals net 'bullish'.


For tomorrow; shorts can look to the S&P, longs may actually get some joy from the Russell 2000. Existing holders of the Nasdaq and Nasdaq 100 can probably stay holding their positions.

You've now read my opinion, next read Douglas' blog.

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Dr. Declan Fallon is a blogger who trades for fun on eToro and can be copied for free.
. I invest in my pension fund as a buy-and-hold.
 
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