Minor Correction Completed in Q's?

The fact that the Q's (Nasdaq: QQQQ) pressed exactly to the Apr-May support line, held, and then reversed strongly is an indication that perhaps a minor correction already had run its course since last Friday's high. Furthermore, the pattern carved out from last Friday's high into this morning's low exhibits classic pullback form, rather than form that would argue that a larger decline was or is developing. These factors compelled me to exit the short position, looking for a retest of the 47.00 area in the upcoming hours -- perhaps in reaction to CSCO's earnings later today.
  • 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!