The Week Ahead for QQQ

NQ QQQ Gets its Own Post this Week

I haven’t done a weekly post for QQQ 0.00%↑ before but I think next week is critical for the Qs. The pattern of higher highs and higher lows has continued but I do have a bit of a warning sign I’ll discuss in more detail below.

Let’s first look at the weekly candle structure and location. The week certainly made a higher high weekly high and a higher weekly low. Sellers made their attempts and buyers were responsive at the lows. One could make the argument that it is a bit of a hanging man. Call it whatever you like, that isn’t my style of trading, but it certainly wasn’t a strong attempt for new all-time highs this week.

Dropping down to the daily there’s something else I want to point out. In July, we had a bearish engulfing sequence 7/10-7/11. The 7/10 candle open was back tested and failed the following 2 days and the top (to date) was formed. This week, Tuesday bearish engulfed Monday. We back tested and failed Monday’s open on Thursday and Friday.

We have been long biased for quite some time. Again, we are making higher highs and higher lows across all indices. It is very easy to be bullish. My first priority is protecting my capital, my second priority is to grow it. In this week’s dedicated QQQ 0.00%↑ post we’ll further discuss the warning signs I’m seeing in the volume profile. We will know when and where it is safe to press to the long side, and when it will be correct to be cautious or outright bearish. My usual focus is SPY 0.00%↑ which can remain constructive to the upside with QQQ 0.00%↑ remaining choppy. Outright bearish action in the Qs, however, will translate to SPY.