Nasdaq Composite: Beware of the bull trap

(News Bulletin 247) – The renewed appetite for risky assets, encouraged yesterday by a smooth continuation of the quarterly ball of the large groups, allowed the Nasdaq Composite index, rich in growth value, mainly in the sector technological, to pass the bar of 3% gain to 11,713 points. This test, not yet fully validated, of the upper limit of a bearish corridor (see below) is essential. He will have to deal with a new ingredient: new Russian territorial targets in Ukraine.

The Russian news agency RIA Novosti reported the words of Sergey Lavrov, Minister of Foreign Affairs, according to which the Russian objectives in terms of territorial conquest were not limited to the eastern region of Donbass. The cold snap was immediate in pre-opening.

To be continued on the value side Netflix, which despite a net loss of nearly one million subscribers in Q2, is reassuring about its recruitment prospects. The company, which will launch a fourth formula, the cheapest, with advertisements, ensures that in the course of the year 2023 will be launched ambitious solutions to fight against the sharing of identifiers.

KEY GRAPHIC ELEMENTS

The technical board backdrop remains bright red.

The flagship index of technology stocks of the American dimension is still in a downward phase, tracing a chartist pattern with an oblique neck line, within a corridor with a bearish bias. The pattern remains heavily bearish within the channel. The next highly psychological threshold is at 10,000 points.

The short recovery since June 21 ends in an upward acceleration, which should warn against the risks of bull trap.

Negative opinion in the immediate future, on the scale of the session to come.

FORECAST

Considering the key chart factors we have mentioned, our opinion is negative on the Nasdaq Composite index in the short term.

This bearish scenario is valid as long as the Nasdaq Composite index is trading below the resistance at 11460.00 points.

CHART IN DAILY DATA

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