Nov 02

Nasdaq Short Fund on the Rise

With about 20 minutes remaining in today's session, the QID (ProShares UltraShort Fund -- 2X the inverse performance of the NDX) is holding up relatively well when compared with prior "day-after-rally" efforts, which have had a habit of failing miserably during the past three months. My intraday work argues that the pattern carved out today between 57.80/10 area represents a bull flag that should resolve itself to the upside towards the 59 next micro target zone. At this juncture, only a failure to rally followed by a decline below 56.50/40 will severely compromise what looks like the initial rally phase of a developing base formation.
Chart

Mike Paulenoff is author of www.MPTrader.com, a real-time diary of his technical analysis & trade alerts on ETFs for precious metals, energy, currencies, and an array of equity indices and sectors, including international markets, plus key ETF component stocks in sectors like technology, mining, and banking. Sign up for a Free 15-day Trial!