Cycle Trading

[Duma]

After a very nice July with TQQQ rising 13.5%, August gave us a lot of disgust with a 5 wave pb after an ATH near the end of July.

So since the bottom on Aug 21st there have been plenty of methods that could have been used to get long as we now head into what appears to be w3. I have been fully long since last week, so expecting a nice ride.

Remember trading w3 is by far the most critical move to trade. If my larger count is right we are in subwave 3 (what I am trading) of a bigger w3. Not so good at counting, so we will see what happens.

Using the MACD 12,26,5 or 9 histogram on a daily chart for the trend, SPY and QQQ will go "trend up" today if prices hold up. IWM has been long for several days.

So now for a little added fun, small pb's can be traded long for some extra gain.

Going back theory on EW sizes, w2 pb was 75% which is a little bigger than the normally expected 62%. Based on the sizes of w1 and w2, w3 is expected to top out somewhere around 115.50.

Good trading