Testing Resistance

Well Traders, the $NDX got a bug up its butt (as did the rest of the Market) and shot up over 431 points to end the day at about $1,1815. Now, I don't expect a monumental run the next 2 days (well, at least tomorrow and Friday's open) to take me out of February's trade. However, we may be coming up against a pivotal point for March's trade. The $NDX is nearing my $1,820 resistance point and I'll be curious to see if it holds out. To this point, it has acted pretty solid, having only been breached once.

You'll notice that there is a definite consolidation of the price as noted by the "squeezing" of the Bollinger Bands. I was going to note that I would expect some sort of breakout from that pinch yesterday, but today's action kind of confirmed that maybe a breakout was imminent. The STO is also showing some strength but the MACD has been getting smaller recently which just represents the neutral stance of the $NDX recently.

We'll see how this plays out.

Happy Trading!