The November 22, 2021 to May 30, 2023 NASDAQ 100 structure is in the process of completing a 61.8% retracement pattern that is similar to what occurred in the Dow between August 25, 1987 and October 2, 1987.
Stock charts courtesy of StockCharts.com.
NASDAQ/Dow/SP500: Artificial Intelligence bubble
Dot Com Bubble Wall Street Documentary
December 2, 2018
Today you can substitute “Dot Com bubble” with “Artificial Intelligence bubble”.
NASDAQ/Dow: 2023 vs 1930
The development of parabolic structures is progressing. An Engrbytrade™ model representation of parabolic structures provides a comparison between the 1913 – 1933 Dow structure and 1993 – 2023 Dow structure. This parabolic structure also crosses over to the NASDAQ Composite, as shown below. A sharp decline in the NASDAQ is expected in 2023.
Stock charts courtesy of StockCharts.com.
Dow/NASDAQ: Dow Gap Below 34,617 Filled
Around 8:30 a.m. EST today the 5-minute Dow futures chart gap below 34,617, that was created at 2:00 p.m. on December 14, 2022, has been filled. The need to fill this gap was noted on January 28, 2023. One gap in the NASDAQ remains, as described on February 7, 2023.
S&P500/NASDAQ: Descending Triangle
Note that the S&P500 and NASDAQ 15-minute charts are in the process of forming a descending triangle. A decline is expected.
Dow/S&P500/NASDAQ: Intraday Gaps
The Dow/S&P500/NASDAQ are still expected to move higher. Algorithms are currently in the process of filling intraday gaps created during a volatile trading period after Jerome Powell’s speech on February 7, 2023.
Nasdaq: Key Words
As the Dow and S&P500 approach their structural peaks, the Nasdaq is also included in this group and is expected to fill a gap created in the 1-hour futures chart between August 19, 2022 and August 21, 2022 with a move above 13,247. Algorithms programmed with key words may trigger a sharp move upward and provide the means to fill gaps in the S&P500 and Nasdaq during, or after, Jerome Powell’s speech at 12:40 p.m. EST on Tuesday, February 7, 2023. This would align with a move of 8.5 trading days (+/- 1.5 trading days) after January 30, 2023 noted on February 1, 2023.
Stock chart courtesy of StockCharts.com.
Dow/S&P500/Nasdaq: Earnings
Nasdaq: Similar Retracement Structures
On January 19, 2023 it was observed that trading patterns in the Dow were similar within specific time frames from April 2022 and January 2023. A review of Nasdaq trades on January 20, 2023 revealed a retracement structure over the last three trading days is similar to five trading days between March 29, 2022 and April 4, 2022. The peak on March 29, 2022 occurred prior to the start of its decline going into April 2022.
Stock chart courtesy of StockCharts.com.
