My near-term work in the PowerShares QQQ Trust (NASDAQ: QQQQ) argues that the recovery rally that started at Monday's low of 27.73 and which extended yesterday to a high at 28.98 is only partially complete. After the current "intervening" pullback runs its course, the QQQQ should pivot to the upside for a test of yesterday's high -- on the way to 29.10/30 thereafter. Only a plunge that breaks and sustains beneath Monday's low at 27.73 will wreck my near-term scenario.



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.