Pullback in Q's Should Hold

The all-day sell-off continues right into the final hour of trading. The Q's (Nasdaq: QQQQ) are nearing important near-term support between 48.80 and 48.50, where I expect the pullback to hold and reverse (not necessarily this afternoon). If such a scenario does unfold in the upcoming hours, an upside reversal off of 48.80/50 should trigger a new upleg that propels the Q's above 50.00 towards a retest of the July high at 50.46. Conversely, a violation of 48.50 will set up an important test of the Aug-Sept. trendline, which cuts across the price axis at 48.10 today.