Invesco QQQ Trust Series 1 (QQQ)

[frenchee]

Let's look at the weekly QQQQ chart on 29 Apr and see what it's telling us.

1. The short, intermediate, and long-term trends are down. (neg) Next support around 32.

2. Price resistance between 36.00-36.55.

3. RSI and Fast Stochastics are in a presignal buy area. (pos)

5. MACD still plunging.(neg)

6. Chaikin Money Flow and Oscillator starting to turn.(pos)

7. QQQQ underperforming relative to the S&P 500. (neg)

8. Positive divergence between volume and price in that prices are down and volume are declining during the last three weeks. Perhaps long positions being forced to liquidate; downtrend will retrace as all sellers sell their positions. (pos)


What's all this mean? Probability of a corrective upward retracement next week is better than 50-50. We are oversold but the downward momentum seems to be getting weaker. I'm currently short but plan to move my stop to $35.59 for trading on 2 May 05. With resistance around 36--36.55, will start adding back to short position if these levels are reached. Otherwise, hanging on to the short.