Short term Technical Outlook of Nasdaq

Ever Since September 2009, Nasdaq Index is in expanding triangle pattern. The present rally from september 2010 seems to be the third leg in the upside, which is also seems to be the last leg of the expanding triangle.

Presently, Nasdaq is trading at 2660 levels. Earlier, in 2007 it tested a high of 2870. That level 2870 is likely to be the next upside target of Nasdaq. In the downside the level 2550 is going to be a strong support in the near future. For another 2 to 3 months it is likely to trade between 2550 and 2850.

In the medium term a correction could be possible towards 2100 from 2850.