To end my analysis this Tuesday, I will include the Nasdaq Composite index (NAS100 or simply Nasdaq) which is the third US stock market index that made up of 101 equity securities issued by 100 of the largest non-financial companies listed on the Nasdaq stock exchange.

Heavy names like PayPal, Adobe, Warner Brothers, Netflix, Google and of course, the trending Nvidia are all included under the index.

Still awaiting the 7 US major economic data out this week with the Durable Goods Orders (month-over-month) and CB Consumer Confidence due out soon.

Assessing NAS100’s high timeframe candles:

Yearly Candle: Developing a Small Green Shaven Head

Monthly Candle: Developing a Small Green Shaven Bottom

Weekly Candle: Previous close is a Long-Legged Green Spinning Top current is developing a Small Green Spinning Top

Daily Candle: Previous close is a Red Gravestone Doji current is developing a Full Bodied Green Candle

Crazy charts like its brothers, S&P500 and DJ30. Almost similar price structures. All bullish. No need to explain more on the yearly to weekly candles.

I focus on the daily candle structures, yesterday close is a Red Gravestone Doji. However, the current is developing a Full Bodied Green Candle that is trying to retrace yesterday and the other day’s highs.

Many a traders were caught into thinking that a short-term reversal has started through that ugly Gravestone Doji but look at the daily candle now, marking to break the last 2 day’s highs.

Like I’ve said in my DJ30 analysis yesterday, if I am to short these indices, I must very careful and observe for new highs to be printed out first before shorting. My bias of course has stayed the same, which is trying to short the potential higher highs with a closer/tighter stop loss in order to capitalize the quick pullbacks until we see a big drop that’s the big sell trade setup.

I’ve already explained my NAS100 analysis so will proceed with the following sell entries:

The idea behind these entries is to short the mid point of the potential 2-day high breakout with a stop loss above 18500.

With a 2.04 risk:reward setup, there’s a 4H FVG that is a good take profit level. 

NAS100 Intraday Analysis and Trading Plan For February 27, 2024

Feb 27 2024

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