Don't look now ..... BUT!
This is where candlestick charting shows how superior it is to other types of technical analysis. All of the other technical indicators are still bullish. .... BUT!
Friday's trading pattern is a "warning" that we may see a bearish reversal pattern in the NASDAQ. What will make this a bearish reversal pattern is if the NASDAQ opens down and stays down on the day.
If the NAZ finishes up, the pattern breaks down, (no harm, no foul), but we're now looking at a triple top and Friday's gapping doji pattern is showing that the buyers are drying up. (It takes buyers to keep a bull market going.)
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Often times patterns do break down, but the sticks let you know when to use caution, they tell you when to keep your emotions in check.
Look at the volume! The same volume as the day before, but the best the NAZ could do is show a potential evening doji star pattern.
I am jumping ahead with this analysis, as nothing has been confirmed yet, but the triple top warrants looking ahead and using caution.
As the old sargeant on Hill Street Blues was fond of saying, "Be careful out there!"
dabum
PS - Several of these doji patterns have appeared recently. Normally the more they appear, the more they should be ignored. However, with a triple top pattern and earnings due out soon, hence my warning of caution. |
