NASDAQ has been super bullish earlier and has tapped the resistance levels of the daily and weekly. We are anticipating a bearish push from these levels as the levels are really strong and have the potential to bring the market down. It should be noted that the pair is still bullish and the retracement will only count for an intraday setup.

The market has formed a bearish wedge with the resistance and support trendline. If the support trendline is breached, causing a breakout sell, it would be counted as a confirmation for the market.

There is no retracement indication on this particular setup.

EMA 50 is bullish and the market has the potential to continue moving down towards the retest of the EMA 50. We can book our profits on the retest of the EMA.

RSI is at 72. It needs to head towards the over bought region above 75, where we can see a bearish divergence forming and the market confluence with the price action and technicals.

Daily and weekly resistance on NASDAQ

May 18 2023