Hey what's going on everyone, i hope you're having a great day. The three major indices were all green today and i hope your portfolio was too i'm matt and in this video i will be doing a technical analysis update on the nasdaq 100 russell 2000 and s p 500, make sure you stick around until the end, because i Will be reviewing a seasonal trade that profited just over one thousand dollars if you're interested in this type of content hit the subscribe button and don't forget to turn on your notifications, so you don't miss any of the timely videos. It would be greatly appreciated if you could hit the like button and leave a comment, because it really helps with getting this video in front of other people all right. Let's get started if you're solely interested in the seasonal trade review jump ahead to this time stamp.

Before we jump into the technical analysis, you should know that the initial jobless claims report will be released on july 16th at 8. 30 am on top of that there are some important earnings reports coming out on both the 16th and 17th key companies in the financial sector, such as bank of america, morgan stanley and blackrock will all be reporting. This is definitely an important sector to be paying attention to, but i'm personally most excited by the technology industry, which is why i will be paying attention to netflix's earnings report. I recently did a stock analysis on netflix if you're interested in that video, it's posted in the description below speaking of technology.

Here's the daily chart for the tech dominant nasdaq 100, which is tracked by qqq. This index, has been in a bear flag since april 20th. These do commonly break downward, but obviously that's not guaranteed whether it continues to trade in this channel breaks, upward or downward. You should know what support and resistance to be looking for, since we are close to all-time highs.

There isn't much resistance above, i would be watching for a bounce off of this top trend line, and then that would be followed by the previous high of 269.79. If the bulls can't keep the market above this middle trend line, i would be looking for support at 252.76 below that i would expect there to be demand found off this bottom trend line to get a more granular view. Here's the two hour chart this time frame. Does a better job at showing you how we closed at the previous resistance on july 7th in order to test this upper trend line again, the bulls first have to get the market above 262 69, which served as resistance in this area.

If the bears failed to protect this upper trend line, that would set up a test at the all-time high just below 270.. On the other hand, if there is bearish strength in the short term, i would be looking for a balance off of 256, which was previous support and now aligned with this middle trend line. If the bull camp cannot protect this, that would then set up a test of 252.76 and, of course, a reach goal for the bears would be this bottom trend line recently, the nasdaq 100 has been the index that has been leading the charge and posting impressive gains. The russell 2000 hasn't been doing as well, but it did post an impressive day for four days in a row.

Iwm closed below this bottom trendline. Many people, myself included, thought this would lead to a test of 136.49 and if the bears pushed the market below that, that could lead to a test of 133.28. As you can see, though, the russell 2000 gapped up into this wedge structure and closed at the previous resistance of 146.69. If this market can push above this top trend line and hold, there's a good chance, it would test its high from early june at 153.09 to have a better idea of what to look for in the shorter time frame.

Here's the two hour chart. Today's close was at a previous resistance, which also marks the upper end of a range which started on june 16th. If the bears cannot defend this region of the upper trend line and the top of this range that could set up a run to the high from june at 1, 53., keep in mind that this scenario could be stopped just short of its target. Because of this gap, gaps are areas where the supply and demand hasn't been tested.

So you never can be too sure of how the market will react, but it is statistically common for them to be filled if the russell 2000 can't make it above this area. I would expect there to be support at this bottom trend line. If the bulls can't hold this, i would then be looking to see how much demand there is in the low 136s, keep in mind that the russell 2000 has been lagging behind the nasdaq 100 and s p, 500. So the strength it showed today was interesting, to say the least.

Speaking of the s p, 500, here's the daily chart for spy today was the second close on top of this primary wedge structure. If the bulls can hold this, i would expect there to be a test of the recent high in june at 3, 23. 41.. If the bull camp shows some serious strength and pushes the market above this, we could be setting up for a test of the all-time high at 3.

39. However, if 323 is rejected, the first support would be this middle trendline, depending on how quickly the market moves. The next support would be this top trend line if the bears pushed the market through both of these, i would then be watching 310, which aligns with the bottom trendline. If it were to happen, i don't think it would be anytime soon, but a break downward from this primary wedge would set up a test of the high 290s for those of you who are more interested in a shorter time frame.

Here's the two hour chart. This is the high from early june that, if broken, could potentially set up a run for the all-time highs. If the market is rejected at this resistance, i would expect there to be support found at 3 18.. This area roughly aligns with two trend lines and two previous points of resistance which commonly turn into support if the market is pushed below this region, i would then be watching 312, which has found support on three separate occasions and was an area of consolidation in mid-june.

A reach target for the bears would then be 308, which aligns with this bottom trend line. Here's how the s p 500 looks on the futures market. As you can see, it has the same primary wedge structure and it's close to testing the recent high at 3231.. Even though the chart is similar, it's not the exact same because the futures market has a 23 hour trading period.

I just wanted to quickly bring this to your attention, because it's one tool you can use to track the market outside of normal trading hours. On top of that, it's also the asset class. I utilize for this month's seasonal trade. This platform is tradestation, and it's what i personally use to place trades on the right side of the screen is the chart for the s p, 500 futures market and on the left side, are the historic performance results for this seasonal trading strategy.

If you're interested in the exact details of this july trading strategy, there's a link in the description below to give you a quick summary. There is a statistical advantage to buying into the market on the 8th trading day of july and then exiting after the first profitable. Close for this year, the 8th trading day of july was on the 13th, and this strategy took a long position. When the market opened at 3183.5, then the closing value on the 14th triggered an exit, so the position was taken off when the market opened on the 15th at 3204, because the futures market is highly leveraged.

This gain of 20 and a half points was a profit of 1025. This strategy trades once per july, and these are the results all the way back to the year 2000, because it trades once a year there was a total of 21 trades. 19 of those trades were winners, two were losers, so the accuracy was just over ninety percent, based on a trading lot size of one futures contract. The gross profit was over 12 000 and the gross loss was 112..

When you compute this ratio, the profit factor was over 110.. If you don't care to trade on the futures market, you should know that this strategy worked on the spy as well, keep in mind, i'm not simply showing you a trade. I made money on. I created a video about this strategy.

Two weeks before it took place. I will continue to make videos on seasonal trading strategies before they take place, so you can track them in real time. If this is something that interests you subscribe to, the channel and don't forget to turn on your notifications, so you don't miss any of the new videos if you enjoyed this video, let me know by hitting the like button and leaving a comment thanks for watching and As always best of luck in the markets.