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QQQ At Resistance, Threatening A Breakout

The bears have had several chances in past few trading sessions to take QQQ down below the 180.50 support but have failed to do so yet. Right now I'm watching the downtrend line + 182.65 level on this 15-minute chart very closely as an impulsive break above those intersecting resistance levels could spark a rally while a failure here would likely send prices back down to the bottom of the support zone & quite likely below it.

QQQ 15-minute Sept 12th

QQQ 15-minute Sept 12th

While an impulsive breakout above the 182.65 level could prove to be another whipsaw signal, just as it was with yesterday's breakout, which failed once QQQ ran into the downtrend line, with the primary trend in the market still bullish, it might be prudent to close any short positions if that level is taken out today as one could also re-short if the breakout fails. Despite my near-term bearish bias from earlier today, the price action since has me now leaning towards an upside break of this level at this time, although resistance is resistance until & unless taken out.

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2018-09-12T15:42:47+00:00Sep 12, 2018 3:42pm|Categories: Equity Market Analysis|Tags: , , |2 Comments

2 Comments

  1. rsotc September 12, 2018 3:52 pm at 3:52 pm

    Along with QQQ, SPY is also challenging a key resistance level on the 15-minute time frame which is likely to determine the next near-term trend. Who will blink first, bulls or bears?

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    • BIGBADWOLF September 12, 2018 4:09 pm at 4:09 pm

      Lot’s of smaller weighted stocks have been bullish throughout the last drop. And now AMZN is turning bullish.

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