Nasdaq 5000 broken on July 11, 2016.
As the Nasdaq composite index moves to yet another record high - this one on a gap move higher - the index is also getting closer to Nasdaq 6000. That is about 200 trading days (give or take a few days). That is a pretty good pace.
The gap higher always has traders on the lookout for an island top. That would happen if there was a gap opening lower that would leave an "island" of price bars. If that were to happen, it would be considered a bearish technical development. Of course traders often look to fill the gap at some point as well, but it does not have to happen soon. Stocks - because they tend to move higher over time - can actually leave an unfilled gap for quite some time.
Overall, the breakout is bullish though. Potentially helping the bullish undertones include key earnings announcments for the likes of Amazon and Alphabet, and the the Trump tax plan which he seem intent on getting announced before his 100 days are up. The Nasdaq 6000 is certainly in traders sites.
