Nasdaq Long Trade Nears Resistance

In my last post, I wrote about the Nasdaq futures contract approaching a strong volume profile support zone between 13,047.00 and 12,635.50. I also mentioned getting long at 12,933.50, 12,878.50, and 12,850.75. The 12,933.50 level was reached, and a long trade initiated. Now we move towards managing the trade. If we were able to enter with multiple contracts, then I would advise scaling out of some inside an approaching resistance zone between 13,272.00 and 13,380.75. This zone has May’s monthly S1 pivot, the 100 DMA, the 50 DMA, the 34 EMA (low), and a Fib symmetry/retracement cluster acting as possible resistance. In addition to these, we also have a change of polarity (old support becomes new resistance) at 13,287.25, 13,353.75, and 13,380.75. I expect prices to stall inside this zone. The key question will be can prices break through and rally higher OR will this be the area prices stall and retest the recent lows. If you have multiple contracts, then scale out here. If you only have one, then you have a choice to make. I would also consider moving stops to below the recent low at 12,915.00. More updates to come.

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