NAS 100 is already in a bearish trend, which is forming its corrective moves around the corner. We have to understand the power of resistance zones which have been formed and the market can break this support turn resistance. Market is already forming a bearish price action on the support level and has the potential to break below with this pressure. 

The ascending trendline is on the verge of breaking out for sells. This breakout sell once induced has the pressure to continue moving down after retracement.

The retracement level is in confluence with the resistance level and has the tendency to bring the prices further down. 

The EMA 50 is still bearish. Market was unable to tap the EMA 50 for the retest, hence, it has started to decline without the retest. 

RSI is at 49. This is the bearish region and has the potential to continue falling towards the over sold region. RSI is aligned with other technical factors for the short setup.

Shorting NAS 100 on a bearish setup

Oct 07 2022