Basically this is a more detailed version of my NDX post for day trading purposes
Yellow lines - Bear channel / Right shoulder
Purple line - First resistance or target
White line - H&S neckline
21ema will be around 391 today
So I'm looking at the premarket action and it looks like we'll rally today. In my last post Friday I said that 383 we would rally to and then head back down. we'll before the end of the day we did rally and close at 383. Today we pulled back premarket but, we are right at this bear channel support which is 381.30-381.40.. The fact that it keeps bouncing around those numbers tell me that this red may be a fake out and that we will rally into the day.
If we do fall below 381.30, our next support is
380.70 50sma
and then that fibonacci at 379.52
Remember on Thursday when I said that the market would pullback Friday and it gapped open Friday before selling off? MM do this to sow doubt and confusion. i think this red premarket is the same trick today. I can't tell you how to invest but I'll be playing calls here today with 379.50 as my stop. I'm not saying this is the end of the tech correction but some of the bigger names in QQQ are outside their bollingerbands which makes me believe we'll bounce today before heading lower in the week. Let's see what happens
Yellow lines - Bear channel / Right shoulder
Purple line - First resistance or target
White line - H&S neckline
21ema will be around 391 today
So I'm looking at the premarket action and it looks like we'll rally today. In my last post Friday I said that 383 we would rally to and then head back down. we'll before the end of the day we did rally and close at 383. Today we pulled back premarket but, we are right at this bear channel support which is 381.30-381.40.. The fact that it keeps bouncing around those numbers tell me that this red may be a fake out and that we will rally into the day.
If we do fall below 381.30, our next support is
380.70 50sma
and then that fibonacci at 379.52
Remember on Thursday when I said that the market would pullback Friday and it gapped open Friday before selling off? MM do this to sow doubt and confusion. i think this red premarket is the same trick today. I can't tell you how to invest but I'll be playing calls here today with 379.50 as my stop. I'm not saying this is the end of the tech correction but some of the bigger names in QQQ are outside their bollingerbands which makes me believe we'll bounce today before heading lower in the week. Let's see what happens
