The Nasdaq 100 is finally “behaving better,” i.e., more predictably. Wednesday’s target was 4371 and the NQ closed at 4374. Thursday’s target was 4402 and the NQ reached 4401.25 intraday.
Markets get less predictable the longer a rally persists due to profit taking. I expect a touch of 4404 on Friday, which is the 100% projection of the current ABC pattern. After that, anything goes, as the bulls will then consider this a very successful week.
The next upside target is 4440.
A Note on Volume Profile
The histogram on the left side of the chart shows the volume distribution in the Nasdaq futures for different periods of time. Key support and resistance levels are indicated by the peaks and troughs.
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