Technical Update - US stock Indices indecisive and could be range bound for a while

Nasdaq 100 tested the 0.618 retracement at 11,594 during yesterday’s session. Sentiment is still bearish however, with RSI still below 60 and all Moving Averages declining. If Nasdaq can move higher to close RSI above 60 threshold i.e., shifting to positive sentiment there could be further upside potential. But the falling (black) trendline would still be a resistance it needs to break and for Nasdaq 100 to further confirm uptrend a close above 12,167 is needed. If that plays out Nasdaq would be back above the 200 SMA which is still in decline.
If the Index slides back lower to close below 11,050 Nasdaq 100 is likely to test October lows around 10,480 and would be likely to drop lower .

On the cloud Nasdaq 100 is testing the upper range of the cloud. If it fails to break above it is a negative indication.

Dow Jones Industrial was hit by heavy selling after being rejected at the 0.786 retracement at around 34,255. If Dow Jones slides lower to close below 33,420 selling pressure could increase and a test of key support at around 32,573 is likely.
Still RSI divergence - a sign of a weakening of the uptrend – but it is still showing positive sentiment. Bottom line RSI seems indecisive here. RSI must close above the horizontal line to cancel the divergence.

Russell 2000 is close to test key resistance at 1,906. RSI above 60 indicates a break is likely . A close above could lead the way to higher levels with no resistance until around 2,022 which is also the 1.618 Fibo projection November-December correction.
For Russell 2000 to reverse this bullish picture a close below 1,792 is needed.

RSI divergence: When instrument price is making a new high/low but RSI values are not making new high/low at the same time. That is a sign of imbalance in the market and an weakening of the uptrend/downtrend. Divergence or imbalance in the market can go on for quite some time but not forever. It is an indication of an exhaustion of the trend