I said on my twitter this morning near the open that both ES and NQ had formed bullish triangles that should at minimum deliver full retests of the all time highs on both in the near future. ES did a new all time high this morning and NQ has now scraped a new ATH by a tick this afternoon. Those are the minimum targets made and we could see a reversal here, though obviously we may not, and historically even if we do, significant declines on Friday afternoons are a rarity.
I have a quick look at how these triangles tend to behave on the video below and would also note that these triangle thrusts tend to be termination moves, and if that is the case here, then after the triangle thrust is retraced, ES and NQ are likely to continue down into what might at least be a retracement that lasts more than a day. Who knows, or dares to dream, or can even remember what such a retracement might look like? 🙂
Intraday Video from theartofchart.net – Update on ES, NQ and TF:
If NQ was to reverse here there is a beautiful possible double top setup that on a sustained break below 6888 would look for the 6770 area. Everyone have a great weekend. NQ Mar 60min chart:
