Friday, November 25, 2016

COMPQ Nasdaq Composite 1-Minute Chart; New All-Time Record Highs

All four major indexes print new all-time record highs today, 11/25/16. The Nazzy was the hold-out earlier today stubbornly refusing to overtake the all-time high at 5392.26 from Tuesday, 11/22/16. The 1-minute chart above is interesting from the standpoint of illustrating support and resistance price behavior. As the day after Thanksgiving seasonal joy guarantees an upside day in stocks today, the COMPQ finally rises up towards the prior record high at 5392.26 (green line) to test the resistance.

Price came up and tapped on the 5392 resistance at 11:30 AM EST and was spanked down. Then price picked itself up by its bootstraps and tried to bust up through again at 11:36 AM, but failed again. Price came up for a third try, and many traders do not believe in triple tops, and a triple top does not occur, instead, price overtakes the 5392 resistance and trumpets sound for the new all-time record highs as price moves higher at 11:42 AM. 

Price then typically back kisses, or back tests, the resistance it has taken out which now becomes support at 5392, and price drops to kiss the support at 11:49 AM, and bounces, so the back test is successful for the bulls. Since the 5392 support held, price moves higher. The COMPQ then comes down for another test of the 5392 support from 12:11 PM through 12:20 PM, and bounces again. A second back test of support has held (most of the time the first back test will send price higher and a second back test would not occur). Price then launches higher into the closing bell. The Nasdaq Composite all-time intraday and closing record highs are 5398.92 (the COMPQ closes at its high). This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here. Consult your financial advisor before making any investment decision.

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