The NASDAQ 100 Trust (QQQQ) typically carries over support and resistance levels from its previous day of trading. Last Friday, the Q's showed us some significant levels that are worth noting.

As you can see on the 2-day daily bars chart below, the Q's showed resistance at 38.70 and 38.45. In the event that we have continued buying interest after the market opens, these resistance levels should be monitored closely. Support at 38.10 held very nicely on Friday. A move below 38.10 on heavy volume should be noted as a bearish indicator for the Q's.

Sears Holding Corp (SHLD) portrays a very bullish setup here. The 1-year daily bars chart below shows a bullish breakaway gap with no downside price movement into the gap, followed by an measuring/expansion gap with no downside price movement into the gap. The stock also recently broke through its 52 week high at 164.

The resistance level at the previous 52-week high will now be support for SHLD. Support at 164, coupled with the fact that the bullish price action has occurred in a bearish market environment, provides a solid opportunity to consider a long position in SHLD.

Andy Swan is co-founder and head trader for DaytradeTeam.com.  To get all of Andy's day trading, swing trading, and options trading alerts in real time, subscribe to a one-week, all-inclusive trial membership to DaytradeTeam by clicking here.