The Nasdaq has a rising trend channel. The lower edge of the trend channel is shown by trend line A, with the upper edge shown by trend line B. In November 2013 the Nasdaq moved above the value of trend line B and used it as a support level. If the Nasdaq develops a retreat, there is a high probability the value of trend line B will provide support, currently near 4460.  The Nasdaq trends moves up in a series of horizontal trading bands. The width of the trading band is measured and this value is projected upwards to give the new upside trading target. Using this method, the breakout above 4640 has an upside target near 5200. If the market retreats from the current high near 5000, there is good support near 4640.  This is a strong, steady and well-established uptrend. The Nasdaq is not showing any chart pattern development that indicates a major correction or change in the trend, so the uptrend has a high probability of continuing in the first half of 2015 towards 5200.  Read MoreNasdaq 5,000: Bubble or not?  There are three significant patterns that indicate a major trend change, which are best seen on a weekly chart where each candle represents a week of trading activity: the head and shoulder pattern, the rounding top pattern and a blow-off top pattern, which follows a period of extreme upwards momentum.  The third pattern was seen in the Nasdaq in March 2000 March. None of these trend reversal patterns currently appear on the Nasdaq chart, which suggests that the probability of a change in the trend direction in the first half of 2015 is low.  Many times the noise about "it's too high and it's going to fall" comes from investors and advisors who were too slow to join the Nasdaq uptrend any time between 2009 and 2014. If they haven't joined the party then, they will try to spoil the party for others.  Daryl Guppy is a trader and author of Trend Trading, The 36 Strategies of the Chinese for Financial Traders – www.guppytraders.com. He is a regular guest on CNBCAsia Squawk Box. He is a speaker at trading conferences in China, Asia, Australia and Europe.
Market talk of a bubble is rampant with the Nasdaq at a high, but investor worries are overblown as charts suggest the uptrend will continue.