The QQQ finished up Friday in a sideways trend with the high being 65.06 area and the low of 64.23 area, see the 5 minute chart below. We started Friday with a nice bullish gap up that could not hold minor or major support and we basically had a trend day lower. Even thou we had a large sell off on Friday, we never took out the low from Thursday’s green bar, see the daily chart below. For Monday, If we gap over or trade over the 65.06 area, I’d be looking to take the first 5 minute base consolidation break out or buy set up preferable around 10 am with a long target area of 65.06 and a second target at 66.50 area. The only play short would be if we gap below the 64.70 area and then I would be looking for the first 5 minute sell setup to enter short with a lower target of 64.23 area. If we trade below the 64.78 area I would be looking for the low of the day at or near 64.70 area, then look to take the next higher low long back into the 65.06 area… My bias is neutral, wait for the market to break out from here before taking a play.
qqq12102012
Longs:
ALL – Break out, Shake out, Go all out play
ANF – Daily buy triggered
BAC – Daily 123 watch
CTSH – Daily 1234 watch
GILD – Daily buy Watch
HAL – Daily Base Break out
KLAC – Daily Break out watch
MGM – Daily 123 pattern
VZ – Money Bar
Shorts:
TEVA – Daily Climatic Watch
WAG – Daily Climatic Watch