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Last week I mentioned I had “No Interest in owning the NDX 100″ due to the “Power of the Pattern” and that it was dealing with a key Fibonacci resistance level. (see post here) As can be seen in the chart above, the NDX 100 looks to be creating a new falling channel and breaking another support line at (2).
Game Plan…Have no interest in owning the NDX. We suggested to scoring on defense in this index back at its highs (see post here)
On a side note…this morning S&P shared they were concerned about America’s potential for growth going forward. How ironic this news has the stock market heading south and the U.S. Dollar is having one if its biggest rallies in months!
My question…Invest in the news or follow the “Power of the Pattern?” Patterns this morning suggested the Dollar was about to rally, prior to the S&P news breaking! (see post here)