NDX tech update
The NDX turned around without finishing the count last week but now we are back on track to make the 13 count finally the next days in this zigzag count with ‘E’ in the making before we will see a more severe correction. So far we have a distribution pattern as who ever buys a market on such a consumer sentiment number will suffer going forward. The frustrated long only manager who missed the rally are rushing in as they evaluate this numbers as positive we have to get in desperation. They are as much as the market is at current levels an intriguing buy signal – just kidding. That’s just an excuse to join the party but that exactly creates this kind of pattern. Will be interesting to see if we need to go to the highs to do that. The current pattern looks almost exactly like the consolidation we had in Jan./Feb hustling around 1200 for the NDX for weeks before the market dropped 220 point.