Double top or double bottom. Tech is overvalued though
Nasdaq Pattern - Identified. I have used the ROC and used it's shift color to mark the dips, which offered my favorable buys. The market has maintained this pattern. Given that, if you look at where we are at now. We are abnout to break out up (As history showed). I'm still long the market and have maintained hold of my shares in QQQ.
Not really sure which way this goes in the afternoon, plotted both scenarios. MFI touching overbought, but usually they pump then dump. Would seem weird to just dump in the afternoon, but the market has done it a couple of times in the past 2 weeks. FAANG socks look weak.... No positions besides SMSI for earnings tomorrow.
Since NQ started that awesome batman pattern back on July 20th, It has been swinging wildly up and down. But we find ourselves back at the top of the channel around 11,000 where anything can happen. So far NQ has burned up to tap a bit over 11,000 and correct immediately. We expect no different this time, but that doesnt mean it cant break out and fling itself...
Here Nasdaq is at 200HMA support. Nice buy here at 10,740, falling wedge just completed after a gap fill Expect the double top on the daily charts to be broken through at 11,070 after outstanding earnings from the top tech companies yesterday.
So big earnings beat, price is going to be complete the pullback and then major profit taking will ensue. That big pink line is the former resistance turned support of the multiyear megaphone pattern. Here is a zoom in of the 4 hr Here is a zoom in of the 12 hr (for clarity) Here is the weekly NQ megaphone. Here is the monthly NQ megaphone - note the...
Dollar suppression mechanism is no longer working to spur growth in equities. Asymptote reached, diminishing results in equity push on every DXY suppression. Note - I messed up the direction of the % gain on the NQ, just ignore the minus sign in front.
REgardless of chart formation, MFI went overbought, so looks bearish.
Huge pennant, either we're heading to a new ATH or back to the previous Feb top Fed meeting plus AAPL, AMZN, GOOGL, and FB earnings Thu AH, that's over half of NQ in market cap reporting all on the same day. All of them and QQQ show the similar pennant. Probably cheaper to buy QQQ calls or puts if you want to gamble on earnings.
See chart, I always trade channel as algos trade the same way. Great dip buy on Friday , I expect new highs end of weed
Looks like this is headed to overbought, there might be an opportunity to fade the gap if it does. Will update premarket.... Note: Asians pumped and dumped already, so that jacked MFI up, if the Euros pump it goes overbought.
Hi Guys! As we can see some time ago, I set a certain trend channel conjugated with three EMA 200/50/20 levels and Fibonacci levels, and recently the chart has been respecting this channel. Further development of price changes directly depends on the DXY. In my understanding, if the dollar index breaks through the resistance level (which it did on Thursday) (but...
Nice opportunity here to buy a fake breakout of Nasdaq double top. 100 hour SMA has not yet crossed the 200 so this looks like a fake breakout buy signal. Really this is a pullback to the 4hr 200period Moving average. Quite rare in tech and a great buying opportunity here. Big area of support below so we can go at this with a wide stop if we like. There...
RSI and MFI oversold now. Possibility that it hits the bottom pink line, but I'm flipping my puts on open. Options expiration tday, and lots of puts out there so probably reverses by the end of the day. Expect a whipsaw.
At one point today the NQ was up 325 and the RTY was down 5 points. As writing this the NQ came within 5 points of touching the VPOC from July 12th - 5 points in the NQ is a touch. This ramp will not sustain. 350 points downside from here - that said bottom to top yesterdays action was 4% and was over 400 points.