Nasdaq has been in a consolidation mode for the last several months. It appears that the index continues to build a Rising Wedge pattern. If this pattern plays out, I will expect the following price action during the next several months.
This scenario assumes the following:
- NDX closes above the 13800 level this / next week
- NDX reaches the new all time highs in June
- NDX hovers around the 14000 level in June / July
- Finally, NDX breaks out from the Rising Wedge in August