QQQ is trading near significant resistance levels after a strong rally. Here's a comprehensive analysis and trading plan to help traders navigate the current price action.
1️⃣ Price Action & Chart Analysis
* Trend Overview: QQQ is in a rising wedge pattern, which often signals potential exhaustion of the current uptrend.
* Key Levels:
* Resistance: $518.30 (current high), $525.00 (psychological resistance).
* Support: $513.30 (recent breakout level), $511.40 (previous strong support).
The current price is testing the upper trendline of the wedge, indicating a crucial area for decision-making.
2️⃣ Liquidity Zones & Order Blocks
* Liquidity Zone: Watch for price activity between $516.00–$518.30, where sellers could gain strength.
* Order Block: Strong demand identified near $511.00–$513.00 from prior accumulation.
3️⃣ Scalping Strategy
For intraday opportunities:
* Entry (Breakout): Buy above $518.50 if volume confirms the breakout. Target $520.50–$522.00.
* Stop-Loss: Below $517.00 to limit losses.
* Rejection Play: If $518.30 acts as resistance, consider a short trade targeting $515.00–$513.30.
4️⃣ Swing Trade Strategy
For multi-day setups:
* Entry Option 1: Go long on a confirmed breakout above $518.30 with increasing volume.
* Entry Option 2: Wait for a pullback to $513.00–$515.00 for better risk-reward.
* Targets:
* Initial Target: $525.00
* Extended Target: $530.00
* Stop-Loss: Below $511.00 for a more conservative approach.
5️⃣ Momentum & Indicators
* MACD: Positive momentum persists but shows signs of weakening, hinting at potential consolidation or pullback.
* Volume: Slightly decreasing volume may indicate hesitation among buyers.
Game Plan for Tomorrow
* Scenario 1: A breakout above $518.30 with strong volume could lead to further upside toward $525.00.
* Scenario 2: Rejection at $518.30 might result in a pullback to $513.00 or lower.
Disclaimer:
This analysis is for educational purposes only and not financial advice. Always perform your own research and consider your risk tolerance before trading.
1️⃣ Price Action & Chart Analysis
* Trend Overview: QQQ is in a rising wedge pattern, which often signals potential exhaustion of the current uptrend.
* Key Levels:
* Resistance: $518.30 (current high), $525.00 (psychological resistance).
* Support: $513.30 (recent breakout level), $511.40 (previous strong support).
The current price is testing the upper trendline of the wedge, indicating a crucial area for decision-making.
2️⃣ Liquidity Zones & Order Blocks
* Liquidity Zone: Watch for price activity between $516.00–$518.30, where sellers could gain strength.
* Order Block: Strong demand identified near $511.00–$513.00 from prior accumulation.
3️⃣ Scalping Strategy
For intraday opportunities:
* Entry (Breakout): Buy above $518.50 if volume confirms the breakout. Target $520.50–$522.00.
* Stop-Loss: Below $517.00 to limit losses.
* Rejection Play: If $518.30 acts as resistance, consider a short trade targeting $515.00–$513.30.
4️⃣ Swing Trade Strategy
For multi-day setups:
* Entry Option 1: Go long on a confirmed breakout above $518.30 with increasing volume.
* Entry Option 2: Wait for a pullback to $513.00–$515.00 for better risk-reward.
* Targets:
* Initial Target: $525.00
* Extended Target: $530.00
* Stop-Loss: Below $511.00 for a more conservative approach.
5️⃣ Momentum & Indicators
* MACD: Positive momentum persists but shows signs of weakening, hinting at potential consolidation or pullback.
* Volume: Slightly decreasing volume may indicate hesitation among buyers.
Game Plan for Tomorrow
* Scenario 1: A breakout above $518.30 with strong volume could lead to further upside toward $525.00.
* Scenario 2: Rejection at $518.30 might result in a pullback to $513.00 or lower.
Disclaimer:
This analysis is for educational purposes only and not financial advice. Always perform your own research and consider your risk tolerance before trading.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.