NASDAQ Forecast October 16, 2014, Technical Analysis

The NASDAQ gapped lower at the open on Wednesday, and then fell to the 4120 level where it finally found support. The support turn the market back around and we close above the 4200 level, which is somewhat impressive. However, we need to get above the 4300 level in order to feel comfortable enough to start buying the NASDAQ again. Pullbacks at this point in time will continue to frighten the market, but ultimately we think that the market should head to the 4600 level given enough time and enough momentum. At this point time, we are bit hesitant to sell this market as it is oversold.