NDX nailed the initial target identified in our September 24 update where it got a strong bounce that took it all the way back to the broken purple channel’s midline and a new all-time high.

This is pretty typical of NDX, which plays fast and loose with chart patterns and Fibonacci patterns — especially when it comes to popping up through resistance.

continued for members…

At this point, it is backtesting the purple channel bottom as well as the SMA100 and SMA200. Wavers will notice that today’s lows were higher than the Sep 17 highs.  So, there’s a potential 5th wave higher to come.

The next highs in early November technically thrashed the odds of a bearish Fib Pattern, so the former high at 4816 is the next apparent challenge.  However, if investors are disappointed with the Fed’s upcoming decision, look for another test of the white channel bottom at around 3955.