QQQ - Temporary selloff or another leg down?

Recently, we pointed out the Nasdaq 100 index was at a crossroads. Since then, QQQ fell below two resistance levels at 370.10 USD and 357.09 USD. As a result, we will closely observe the price action in the following days. First, we will look for a potential halt in the selloff; or inversly, we will watch for signs that the selloff might be strengthening. Though, at the moment, we still think the current selloff might be just temporary. We still expect QQQ to move higher eventually. If a low of 338.04 USD is taken out, it will invalidate our thesis.

Technical analysis - daily time frame
RSI is bearish and Stochastic as well. MACD is in the bullish area; however, it is due to perform a bearish crossover below 0 points. If MACD fails to move below 0 points, price decline can halt. DM+ and DM- show bearish conditions in the market. ADX suggests the prevailing bearish trend is weak. Overall, the daily time frame is bearish.

Technical analysis - weekly time frame
RSI, Stochastic, and MACD are all bearish. The same applies to DM+ and DM-. Meanwhile, ADX shows that the bearish trend of a higher degree is further weakening. Overall, the weekly time frame is bearish.

Illustration 1.01
The picture above shows simple resistance/support areas.

Please feel free to express your ideas and thoughts in the comment section.

DISCLAIMER: This analysis is not intended to encourage any buying or selling of any particular securities. Furthermore, it should not serve as a basis for taking any trade action by an individual investor. Therefore, your own due diligence is highly advised before entering a trade.