Tuesday, March 24, 2020

Bullish Divergence On NASDAQ

Marco Tosoni

FХ Strategist & Financial Commentator

During yesterday’s trading session, the Nasdaq marked a new bottom around 6650 area before a strong rising acceleration towards 7325. The session ended with a closure nearby 7000 around ​​last week’s bottoms.

Today’s session, anyway, started with a pretty convincing rise, trying to recover yesterday’s tops.

The average true range after setting a new 10 years record around 600 points, seems now ready to begin a slight drop that could favour the NASDAQ through the next days.

Looking at the RSI indicator, we can detect a precise bullish divergence that, considering the huge dimension of the bearish swing and the announcement by the Fed of a new basically unlimited quantitative easing, should represent an excellent bullish signal, at least for the short term.

As always the setup would be activated in case of a breakout of yesterday’s tops around 7325. The stop loss should be placed at 6610 below yesterday’s bottom, while the target price could be expected around 8000.

As always I recommend to trade carefully and to plan at best every move. Don’t forget to subscribe to Nbh YouTube Channel to stay up to date with the financial markets! Have a good trading and see you for the next video.

Watch Full video​

Recent Articles

Bullish Engulfing On GBPUSD

Bullish Engulfing On GBPUSD Marco Tosoni FХ Strategist & Financial Commentator In my previous...

Bullish Breakout On NZDCHF

Bullish Breakout On NZDCHF Marco Tosoni FХ Strategist & Financial Commentator On last March...