Nasdaq Index is contracting in a form of a bearish wedge formation. A possible mini correction may be in play at the start of 2021. This year, the Covid-19 crisis in March caused a near %30 percent fall. September’s correction was around %14. If the price falls below 12.750 and breaks the lower line, 12.215 can be a good support for upward reversal. This level is around %5.5 below the current top which is in line near half-size corrections that happened this year. Of course, this downward move may not happen and stocks may immediately begin to rise with new year’s optimism.
