Part of the process of

    QQQ monthly chart is not pretty

    Posted by chartboy on 28th of Feb 2021 at 11:27 am

    Part of the process of putting tops in involves “gaffing” shorts several times before the real reversal occurs and training the Johnny come latelies to buy every dip. That gets the crowd thinking exactly what you are when the break actually occurs.

    In fact a classic bear maneuver is to trace out inverted head and shoulder patterns, to let the uneducated bulls buy them as they break out slights, and then immediately reverse them and break them straight down to new lows.

    Point being, the macro trends will dominate the micro patterns. While the Dow may have made that pattern last month, the NDX and SPX, etc have deteriorated significantly since, so the environment has changed. 

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