QQQ (Nasdaq 100 tracking ETF) offers an objective but aggressive entry for a swing trade around current levels. The price targets are T1 at 160.20, T2 at 163.84 & T3 at 166.94 with the potential for additional targets, depending on how the charts develop going forward. The suggested stop is a close below 152.00 with a suggested beta-adjusted position size of 1.0.

QQQ 60-min Dec 20th

QQQ 60-min Dec 20th

While this is certainly a counter-trend trade without any buy signals, with all major US stock indices at or very near key support with bullish divergences on multiple time frames, coupled with the above average R/R on this trade, makes a long entry at this time favorable. Another, more conservative option would be to begin scaling into a position in QQQ while taking a fraction lot here & adding to the position in periodic intervals over the next 3 – 5 trading sessions. Using that strategy, one would use their average cost coupled with their preferred price targets(s) in determining their stop loss. Those not comfortable with the uncertainty of using a stop based on a daily close might opt for a hard stop or a stop based on a 60-minute close.

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