What Is Wrong With The NDX QQQ NAS100 Right Now?

2021年3月24日

The market leaders are content at equilibrium in recent months. Make no mistake, this will not last long,
eventually, it will resolve one way or another as buyers and sellers battle it out. The bias for me remains
lower. That has been my bias for a year now so take that into consideration! Anyway, the head and shoulders
pattern remains in play. H&S at tops usually signals a reversal, any other time though it signals a continuation.

The argument that other indexes do not share the same pattern is in my view incorrect. Why? NDX is the market
leader. When the leaders fall the war is lost. We have been through a huge cycle of wannabe leaders from

Small caps
Commodities,
Schitt stocks airlines hotels etc..
Meme, SPAC schitt stocks GME AMC TLRY blah blah
Value MEGA Stocks

Again markets look tired and confused for now. So many great setups are failing to follow through.
Know the market you are in & avoiding the chop can really save you hard-earned money. Wait till
there is resolution and a trend to trade.

Lastly, the bullish case is "Stimulus" will push up prices. My counter-argument is we are likely in
the last 50% of "Stimulus" not the first half and the law of diminishing returns is kicking in. With
deficits right now running at 17% of GDP, it will be almost unimaginable that we can go to 34%
deficits to GDP at this point.

Just bc you can trade doesn't mean you should right now. I suspect your trades are not panning out
right now. Don't worry it's not just you.

2021年4月8日

註釋

Going for the Head test. Then we will see how it forms