Thursday, March 28 and the AEX is at 882 in the morning. That is up 8 points from Friday, March 22. Above, you will find the chart of the AEX for the month of March.
The AEX has thus met the expectation of a new peak. After good news from the high-tech sector and positive news from the FED last week, the AEX broke through the 875 barrier. The set target of 890 is still in place, but the AEX has come onto the watchlist to close the long position. The good news is largely priced in, and this rise from 875 to 883 is a technical continuation. This rise has a high likelihood of a quick fallback. The system is on alert to detect any cracks in the price formation of this rise towards 890 and to close the position.
This does not negate that after a larger correction, possibly to 865, we can continue the major upward trend in the stock market to our ultimate target for this year of 920. After the sideways movement in February, you can see the upward trend in March towards the target.
Below is the chart of the Nasdaq100 -future for the month of March. You can see the volatility and sideways correction over the past week.
The Nasdaq future is currently at 18,450 which is 100 points lower than last Friday, for the much more volatile Nasdaq. The most probable scenario is that there is still one top in the offing. The Nasdaq has been correcting for some time, but this decline has all the characteristics for a setup toward the next rise. The target remains 19,000. The Nasdaq is expected to undergo a larger correction from that level as a prelude to the ultimate target for 2024: 22,500.
