QQQ - Nasdaq 100 to form new lows in the short-term

Yesterday, after the FED decision, QQQ gained over 3%. Despite that, we kept our stance and did not abandon our bearish price targets. Indeed, we noted that the relief rally was in progress and that the abrupt move up reflected the market's fragility. We think today's fall foreshadows more weakness ahead. Our short-term price target for QQQ is 310 USD; the medium price target is 305 USD.

Illustration 1.01

Today, we pointed out this bearish structure just before the fall. Additionally, yesterday, we also pointed out that declining volume accompanied the bounce in price.

Technical analysis - daily time frame
RSI reversed to the downside, which is bearish. Stochastic fails to move higher. MACD remains bearish. DM+ and DM- also show bearish conditions in the market. Meanwhile, declining ADX reflects a recent pause in selling pressure. Overall, the daily time frame is bearish.

Technical analysis - weekly time frame
RSI, MACD, and Stochastic are all bearish. The same applies to DM+ and DM-. ADX indicates that the bearish trend is gaining strength. Overall, the weekly time frame is bearish.

Please feel free to express your ideas and thoughts in the comment section.

DISCLAIMER: This analysis is not intended to encourage any buying or selling of any particular securities. Furthermore, it should not serve as a basis for taking any trade action by an individual investor. Therefore, your own due diligence is highly advised before entering a trade.

Trade closed: target reached:

Our short-term price target of 310 USD has been reached.