Friday, December 31, 2010

QQQQ 55 talk

From our post on November 05 we wrote how QQQQ 55 would be the target we constantly had our eyes on (and how we wouldn't short in front of it).

Market indeed did go to 55 target and turned around on this significant resistance zone.    Any pullback now would be bullish as we are too extended to take out this wall of resistance.    The pattern is bullish and it wouldn't surprise us if we based under it for the intermediate term before breaking out into higher territory.   As we've preached over the years, the easiest trade is to stay long into the target instead of attempting to buy the breakout.   This year we've focused a lot on target trading and that's a theme we're going to run with into 2011.