NASDAQ - Head and Shoulders

The NASDAQ has failed to keep pace with the other main US indexes and appears to be creating a head and shoulders pattern. This may be due to the fact that the NASDAQ bottomed 4 months before the other US indexes and is now the first of the indexes to top. The NASDAQ's current price action appears to be encountering resistance from the former neckline of the smaller degree head and shoulders pattern. While prices will likely exceed this resistance, this will likely only create a short term price spike. A daily close firmly above the resistance line will likely indicate that this head and shoulders pattern is invalid and headed to new heights. In either case this line appears useful to determining the market's next move.