There’s been a lot of interest in the Tech Sector of late. Long story short, the bears dropped the ball during the summer tech selloff as the PowerShares QQQ Trust (NASDAQ:QQQ) – Nasdaq 100 Index ETF – rallied back to new highs.
So where does the $QQQ stand now? Â Below is an update using DeMark Indicators across daily, weekly, and monthly time frames.
Daily Timeframe
Will print yet another TD Sell Setup with a Wednesday close above 141.01. How to interpret: buying pressure remains strong; a 1-4 bar pause/pullback is expected on the way higher to a Countdown Sell 13 completion. What will invalidate the above? A completed TD Buy Setup, i.e. a 9 count to the downside.
Weekly Timeframe
3-bars pullback off of 6/16 completed TD Sell Setup worked to perfection; Approaching secondary exhaustion (“Risk Level”) (at $143.41) of last completed Countdown Sell 13 (on 5/19/17). How to interpret? A qualified break of Risk Level is the only indicator containing a new leg higher. Bears need significantly lower prices to change posture of weekly chart in their favor.
Monthly Timeframe
Price already trading above Risk Level ($136.83) of last Countdown Sell 13 (on 2/28/17). If July close is above $137.64, and Aug 1 has a higher open and a print above that higher open, the Risk Level will break on a qualified basis, leaving bears with no help.
Thanks for reading and good luck out there.
Twitter: Â @FZucchi
The author does not have a position in in any mentioned securities at the time of publication. Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.
