SPY/QQQ Plan Your Trade For 3-7-24 : Rally PatternAs many of you know, I've been expecting the SPY/QQQ to find support (seeking a base/bottom) for the past 3+ days. The amount of selling has been somewhat extreme. We are currently in a downtrend.
So, my expectation of a base/bottom is related to the breakdown of the Excess Phase Peak pattern and the previous support levels (pre-election and recent lows) that suggest price will attempt to hold/base/bottom near recent support.
As of yesterday's close, price had broken downward, still within the support range.
So, again, I urge caution as I believe price will be very volatile while attempting "hammer out a base/bottom" (if it happens).
Overall, my bias is to the downside because of the current trend. Yet, The RALLY pattern today suggests we may see a recovery above 577 on the SPY which may lead to a rally targeting 580+.
Gold and Silver are holding up well and should setup a base/bottom today on the Counter-Trend Top/Resistance Pattern. I don't expect Gold and Silver to rally very strong today. I expect more of a melt-up in trend for metals.
Bitcoin is still consolidating and moving into a very tight Flag Apex range. As I pointed out in today's video, a shorter-term Flag apex will be reached on Sunday (3-9). I believe Bitcoin will become very volatile over the next 3+ days - attempting to break away from a GETTEX:13K consolidation range.
This apex volatility could drive the SPY/QQQ into extreme volatility as well.
Unless you are very skilled at targeting short-term price swings - stay very cautious of this volatility as it could end up turning and biting back.
It's Friday. I'm planning on watching and only trading when I believe there is a very clear opportunity for profits.
I got dinged around (took some lumps yesterday) trying to trade while driving and handling family issues. Lesson learned - don't force it.
The markets will settle into a trend next week. So, be prepared to sit and watch if you don't like what you see on the charts today.
Get some.
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