Nasdaq technical analysis: Must see key levels

• Nasdaq Emini futures (NQ) needs to close a 4 hour candle below this VWAP, anchored from this pivot point (the low of 09 August), in order for bears to fully put their foot on the gas, and bulls to break up.
• VWAP is a trading benchmark that shows the average price of a security based on volume and price. VWAP helps traders price a security’s trend and value. If professional bulls believe that this trend up should continue, when the price reaches the VWAP line, or close to it, they would want to buy, believing they got an attractive price before Nasdaq continues its uptrend. Otherwise, they would not buy, perhaps even sell, and Nasdaq would lack the buying pressure that is needed to sustain its rally, especially at such a late stage in the rally, where more traders think that Nasdaq futures is “overbought”.

• Still, we are in a pullback after a long rally, and today (18 Aug) still seems to be, and will probably close, as another pullback day. This would be the 3rd pullback day since 16 Aug. Three pullback days so late in a very strong bull rally of apx 24%, since 16 June, is not only natural, at best, and minimal, as most traders would consider. In short, a pullback is still expected to continue.
• What are the key levels to watch? Besides a 4 hour candle closing below the aformentioned VWAP line, the following Nasdaq technical analysis video presents key lines and prices, first and foremost, a key previously broken resistance (and now that line is a support that is acting as a magnet that is pulling price to it, or close to it, to test it)

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