It looks like the last week's drop to the previous highs (now support) was a good buying opportunity, and investors quickly bought the dip. Therefore, as long as the Nasdaq remains above previous highs of 12,200 USD, the short-term outlook seems bullish.
If bears managed to push the price below that support, a further decline toward 12,000 USD could occur. The next strong support might be at the broken bearish trendline, currently near 11,950 USD.
On the other hand, the resistance seems to be near 12,540 USD, and if not held, Nasdaq could attack the current all-time highs near 12,670 USD.
The long and medium-term trends still seem bullish as the Fed is about to unleash even more easing at its meeting this week. Therefore, short-term dips appear as a good investment opportunity.
