Here's a line chart of the Nasdaq-100 ETF QQQ since the recent plunge started. It has been relentless selling. While I could tell you all about the 10% correction and all that other jazz, I just want to share this line chart that is essentially going straight down.
I think there are essentially three ways to play this:
1. Do you wait for one capitulation event and then dive in? If so, when does that begin? Start your research process.
2. Does one place a pair trade of sorts for both crazy downside insurance BUT also a quick upside pop. There has not been a rally at all off this crash and as they often observe, the biggest bounces happen after the worst drops.
3. Keep playing the downward trend until otherwise noted. My only concern here is that I keep asking myself: have I missed the down move?
I am watching closely and am wondering when or if a rebound arrives and how to play it. If you have any trade ideas in mind based on this plunge, please comment them below!
I think there are essentially three ways to play this:
1. Do you wait for one capitulation event and then dive in? If so, when does that begin? Start your research process.
2. Does one place a pair trade of sorts for both crazy downside insurance BUT also a quick upside pop. There has not been a rally at all off this crash and as they often observe, the biggest bounces happen after the worst drops.
3. Keep playing the downward trend until otherwise noted. My only concern here is that I keep asking myself: have I missed the down move?
I am watching closely and am wondering when or if a rebound arrives and how to play it. If you have any trade ideas in mind based on this plunge, please comment them below!
Leading TradingView's educational videos on Youtube: youtube.com/channel/UCfOflihrkOKDQZ_ZKtF2VfQ
Read my blog here: scheplick.com/latest-posts/
Follow me on X here: x.com/scheplick
Read my blog here: scheplick.com/latest-posts/
Follow me on X here: x.com/scheplick
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Leading TradingView's educational videos on Youtube: youtube.com/channel/UCfOflihrkOKDQZ_ZKtF2VfQ
Read my blog here: scheplick.com/latest-posts/
Follow me on X here: x.com/scheplick
Read my blog here: scheplick.com/latest-posts/
Follow me on X here: x.com/scheplick
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.