So far today, QQQ was rejected on the backtest of the key 269.28ish resistance (mid-June bear market low) with an impulsive reversal which, at least as of now, also denies ‘confirmation’ of yesterday’s bullish (edit) engulfing candlestick. While a solid move above the top of yesterday’s candle next week would & still could help to confirm it, any move below that candle next week would eliminate it as a potential bottoming stick (my preferred scenario). Daily chart below.

QQQ daily Oct 14

QQQ daily Oct 14th


Still anyone’s game (bulls or bears) so we’ll have to wait to see how the market picks up when trading resumes on Monday. As such, I’m sticking with my swing shorts for now & plan to either add or subtract (scale out) of those positions, depending on how the charts develop next week.

One of my favorite setups (although I started scaling in today), /ZF (5-yr T-note) & IEI (ETF) will offer an objective long entry on a break above this 120-minute bullish falling wedge pattern. I also continue to scale into the 10 & 30-year Treasury bond futures (/ZB & /ZN) as well as TLT & IEF (ETF versions) in both my trading account & various long-term accounts with plans to add if/when their respective downtrend lines (and the uptrend lines on $TYX, $TNX, & $FVX (30, 10, & 5 yr Treasury yields) are taken out.

ZF 120m Oct 14th

ZF 120m Oct 14th