The Nasdaq Composite was up 0.2% Friday, but was still down 1.7% on the week, which means it has now spent five weeks stalled out below key chart resistance, according ICAP-Technical Analysis’s Walter Zimmerman. Based on Elliott Wave counts, he pegs “pivotal resistance” at 6,280, which is 2% above current levels. If the Nasdaq falls below 6,030–2% below current levels–it would open up the downside to 5,840, which Zimmerman says is “must hold support” to preserve the longer-term uptrend. The Nasdaq has now lost 2.6% since the June 8 record close of 6,321.77. Separately, Zimmerman said the Dow Jones Industrial Average has now spent two weeks stalled out below “pivotal resistance” at 21,470.72, which is about 70 points, or 0.4% above current levels.
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