Market Analysis for May 2nd, 2005

With the Qs treading water in positive territory, above 35, my intermediate-term work argues that Friday's pivot low at 34.35 and rally that has extended to today's high at 35.26 represents the initiation of the final phase of the counter-trend recovery process that began in mid-April. If my work proves correct, then after a brief digestion period (and possibly pullback into the 34.90/80 area), the Qs should accelerate to the upside to challenge the 35.60/70 resistance area -- on the way to 36, at which point my work will argue for a resumption of the underlying dominant downtrend off of the December highs.

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.

  • Action-Oriented Trade Set-Ups in Stocks & ETFs
  • Macro Analysis of the Broader Markets
  • Detailed Technical Guidance for each Trading Idea
  • Live Interaction w/ Mike & Our Member Community
  • And Much, Much More!
Join Now! - Special Offer!
Veteran Wall Street analyst and financial author, Mike provides detailed and timely analysis and trade set-ups on a range of markets. Read more...

Have Mike's “Out Front” morning analysis delivered FREE to your email inbox twice weekly!