Nasdaq – Monthly Analysis

Nasdaq remains one of the strongest major indices on the surface, but strength alone does not remove risk. Some of the technical conditions now developing have appeared near important market turning points in the past, which makes the next move especially important. In this analysis, we examine Nasdaq’s latest structure, momentum, and probability map to assess whether the rally still has room to extend, or whether the index is beginning to signal a more important shift beneath the surface. CANDLES Nasdaq closed both the month and the week with bullish continuation signals and solid technical support. Friday’s daily candle formed a doji, which could develop into a Spinning Top if confirmed. Technically, multiple frames have pushed further into overbought territory. This condition can persist for some time before a strong reversal signal appears. However, the weekly RSI has now reached levels last seen in February 2020, just before the famous…