The QQQQ are approaching key near-term swing targets off of the January 6 rally peak at 31.63, the first of which is 29.35/30, which if violated will point to a press towards more important support at 28.80/70. My October-January pattern work argues that in either case, the larger pattern indicates that we should be expecting another upmove from 29.35/30 or 28.80/70. Having said that, however, my strategy for the QQQQ, if I was short would be to cover "down here," but not to go long until we have signals to do so.



Mike Paulenoff is a 26-year veteran of the financial markets and author of MPTrader.com, a real-time diary of his technical chart analysis and trading alerts on all major markets. For more of Mike Paulenoff, sign up for a free 15-Day trial to his MPTrader Diary by clicking here.