QQQ daily break out from channel - sell
QQQ break down from the lower channel line and if we would not have a sell signal till now, now would be for sure. After the exhaustion gap up, QQQ hit its head into resistance from Sep 2022 and could not move further. Now it's formed smaller lower high and lower low, signaling a shift in direction. With filling the exhaustion gap we could see a small bounce but very likely it will be sold right away.
Volume is neutral, we need more volume to be sure QQQ is done.
It is above all major MA which is bullish though.
RSI had a strange SHS pattern and is going lower.
MACD histogram is ticking lower and lower while the MACD line starts to roll over and will cross below the signal line which will be signal to heavy short.
Overall: QQQ had a strong bounce from lows but the question is pump over. It was mostly an oversold pump, especially with TSLA and other stock beaten so hard down. If QQQ consolidates on this level on smaller volume and does not drop too much we could still talk about a bull option, about bull pullback and new highs, but if we see a bigger red candle with increased volume then we will be sure the pump is over and retail traders are bag holders yet again.
Volume is neutral, we need more volume to be sure QQQ is done.
It is above all major MA which is bullish though.
RSI had a strange SHS pattern and is going lower.
MACD histogram is ticking lower and lower while the MACD line starts to roll over and will cross below the signal line which will be signal to heavy short.
Overall: QQQ had a strong bounce from lows but the question is pump over. It was mostly an oversold pump, especially with TSLA and other stock beaten so hard down. If QQQ consolidates on this level on smaller volume and does not drop too much we could still talk about a bull option, about bull pullback and new highs, but if we see a bigger red candle with increased volume then we will be sure the pump is over and retail traders are bag holders yet again.
Consistency is the key of success....