QQQ - After Hours Trade

7 авг. 2024 г.

Just went short 100 shares of QQQ @ 432.37.

Reasoning:

I mentioned prior that the 448 level was a key level to take out for the bulls. We tested it today a couple times on the hourly and it failed. This is a sign of weakness, and though anything can happen, probabilities favor a take out of 433 here.

This may be a short hold depending on what goes on tomorrow after the open. I only took a partial position and will see how things go if I want to add or close it out tomorrow.

Hourly Chart: This is for daytrading and I do not base my direction on this chart, direction is based on longer time frames, and then I look for trades in the direction of those time frames.




The market filled the gap from the open on Monday yet as it retested the broader trend line, which overlapped with the key 448 level, it printed two bearish pinbars. Had I been daytrading this would have been a setup to look for, but unfortunately I was at the Doctor's office ;(.

Anyways the rejection here after filling the gap and failing to take out the 448 level is bearish in my opinion and I am positioning to take out 433 tomorrow morning.



Going back to the weekly chart and looking at order flow, there really is no support until 409 but real support is down there around 370. This would represent about a 25% pullback and a good area to start loading up on stocks.

Remember anything can happen here, if money was made easy everyone would be a trader. Do not discount a rally in the near term, but IMO the market is reverting to the mean.