We have been monitoring price action closely this week. $Invesco QQQ(QQQ)$
On Monday, I posted four criteria essential for navigating bounces; one of those criteria is the recovery of central weekly and monthly levels that delineate bullish versus bearish conditions. Those levels are modeled every Friday based on pure price action and volume footprints where institutional algorithms react, making them relevant because they reflect recent momentum rather than long-term diagonals (that are good to have in mind, and sometimes they match with modeled levels, but the accuracy is lower).
On Friday, I shared two long-term charts for the $S&P 500(.SPX)$ and QQQ demonstrating how critical it is when a central weekly and monthly level is recovered:
Today, tech ( $NASDAQ 100(NDX)$ and $Invesco QQQ(QQQ)$ ) reclaimed its central weekly level, the bullish reaction to $SpaceX(SPCX)$ earnings fueled the market as considered yesterday. As a $2 trillion company, SpaceX is larger than $Broadcom(AVGO)$ ($1.8T), $Meta Platforms, Inc.(META)$ ($1.5T), and even $Tesla Motors(TSLA)$ ($1.5T).
It has the weight to influence the broader tech sector and specifically AI stocks, as seen today when semiconductor leaders like $NVIDIA(NVDA)$ $Advanced Micro Devices(AMD)$ $Micron Technology(MU)$ held above their anticipated daily levels (215.9, 535.8, and 898.8, respectively) and printed a constructive picture.
Since semiconductors are oversold, I provided daily levels yesterday combined with the weekly ones to monitor early bullish moves. Some might assume daily levels are exclusively for day traders, but that is not the case. Daily levels serve as early milestones during a recovery, giving bulls a valid technical confirmation that a bounce is underway, and conversely, signaling bearishness when those levels are lost.
The levels modeled every week apply for these tickers:
Markets are always moving - and sometimes, the best move is knowing what works for you.
With Treasury yields, oil prices and rate expectations keeping markets on edge this week, investors are once again thinking carefully about where to position next. There’s no one-size-fits-all choice in investing — and the same goes for Tiger Merch. This month’s hot picks are in, featuring the Tiger Toiletry Bag, Universal Travel Adapter, Tiger Umbrella and more favourites chosen by fellow Tigers.
Explore the Monthly Hot Picks in Tiger Coin Mall, now 12% OFF for a limited time.
Comments