Chart of the day Nasdaq 100 looks set to make a potential new all time high

Short-term technical outlook on Nasdaq 100 (Fri, 27 Oct 2017)

Key technical elements

• The recent 0.9% decline from its current all-time high of 6130 as seen in the US Tech 100 Index (proxy for the Nasdaq 100 futures) has managed to test and staged a rebound from its key medium-term pivotal support of 6010 (see 4 hour chart).
• Based on the Elliot Wave/fractal analysis, the Index is likely in the midst of undergoing a minor degree impulsive bullish wave iii in place since 26 October 2017 minor swing low with its potential end target at 6165 (2.00 Fibonacci projection from 25 October 2017,  U.S. session low).
• The hourly Stochastic oscillator is now coming close to an extreme overbought level which highlights the risk of a minor pull-back towards the intermediate support at 6092 (former minor swing high area of 25/27 Oct 2017).
• The key short-term support now rests at 6066 which is defined by the minor ascending trendline from 25 October 2017,  U.S. session low, the former minor swing high area of 26 October 2017 and the close to the 61.8% Fibonacci retracement on the on-going up move from 26 October 2017, U.S. session low.

Key Levels (1 to 3 days)

Intermediate support: 6092

Pivot (key support): 6066

Resistances: 6130 & 6165

Next support: 6010 (medium-term pivot)

Conclusion

Therefore, as long as the 6066 key short-term pivotal support holds, the Index is likely to shape another potential upleg to retest its current all-time high level of 6130 before targeting the next resistance at 6165 in the first step.

However, failure to hold above 6066 shall negative the prevailing bullish tone for another round of corrective choppy decline to retest the 6010 key medium-term pivotal support.

Charts are from City Index Advantage TraderPro

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