Chart of the Day - Wednesday, March 29th, 2023

Today’s Chart of the Day was shared by TrendSpider (@TrendSpider). It's a 65-min candlestick chart of the Nasdaq 100 ETF ($QQQ) over the past two months. Today, the media declared that the Nasdaq is in a new bull market, as it's up more than 20% from its December lows. However it seems silly to call this a new bull market, considering its still down more than 22% from its all-time highs. Labels aside, the Nasdaq is shaping up for a new leg higher. It closed at a seven month high today, as it attempts to emerge from a bullish cup & handle pattern. It failed its initial attempt to close above the February highs last Wednesday, but it spent the past week forming the handle of this pattern. Some of the nastiest moves in recent months have begun as failed breakouts, so it's crucial that $QQQ holds above the February highs ($312) in the near term. If it can hold above $312, the next major upside objective will be the August highs, which are around $333.