Visual Lid
“Hanging in there” might
be the best way to describe today’s early action as selling momentum has waned
for the moment, and the Qs have been uptending slowly into a test of hourly
resistance. Trading pace has been sporadic at best as the market continues to
test its daily trend support, and time will tell if the daily chart will
continue its descent from recent weakening divergence or hold support and
essentially become “oversold on support” as described in the QQQ
course and video. The NQ hourly 15-MA, which is hovering around the
psychologically key 1600 level, continues to provide us with a visual lid until
penetrated, and I would suggest treading lightly until the pace picks up and
triggers become clear.
Thursday November
29, 2001Â 12:10 PM EDT
Given the poor pace,
stochastics or similar momentum indicators become even more important to make
sense of the current market chop.
Good Trading!