After making another higher high NQ traded sideways all day. Nasdaq rally is fueled by a few stocks, AAPL, GOOG, FB, the Fed's favorite stock to buy in order to keep the stock market sentiment positive.
The market rally breath is getting worse by the day, and clearly making a major top like the 2000 and 2007 market top that should be followed by major bear market unless central banks prefers the hyperinflation route.
The Dow and the S&P 500 lags behind nasdaq, a typical major topping pattern, which started March 2017. major topping pattern normally last about six months, which puts the beginning of a bear market down leg should starts in September 2017.
Between now and September 2017 the market should continue to trade sideways inside a trading range that should continue to get wider and wider.
On a short term intraday timeframe, support for NQ is 5655. As long as NQ remains above 5655, we should see another higher high in NQ.
$SPXA200R is a breadth indicator showing the percentage of S&P 500 stocks above the 200-day moving average. $SPXA200R declines when more S&P 500 stocks cross below the 200-day moving average.
