Market Analysis for Aug 4th, 2005
Finally, the Q's are making some headway on the downside (we are short from 40.07),
proving that the very vulnerable technical "set-up" that I have
been squawking about for 48 hours really did exist. What now?
Notice that the price structure has inflicted some damage to the
hourly chart structure by breaking below key micro support points
at 39.88 AND 39.70, which should trigger downside acceleration
towards more critical support at 39.55/50. At this juncture, only
a rally back above 39.95 will neutralize current weakness.
For more of Mike Paulenoff, sign up for a FREE 30-Day Trial to his E-Mini/Index Futures diary. Or try his QQQ Trading Diary.