Volume patterns in QQQQ indicate considerable bearishness.
1. The 2 year and longer charts are bullish. This simply means to me that the long-term bull market will continue, and eventually we will default to that trend (with emphasis on eventually). But...because of the following, that will not happen for a long time.
2. Examining the charts in time frames ranging from 1 months to 2 years, they are all very bearish, and clearly indicate downside within the time frames these charts reflect (i.e., in the medium term, which I define to be 1 months to about a year or so tops).
3. The short-term charts (less than 1 month) are equivocal or bullish.
My interpretation is that the long-term trend is bullish, but that the short-term and medium-term trends are still markedly bearish, particularly the medium-term trend. And, until we see bullish indications there with clear buy signals, that is where we will go, partly because of how strongly bearish the medium-term charts appear. But, there may be some bits of upside along the way. In fact, I think we won't go down hard and fast, but slow and painful over a period of at least 4 months.
JMHO....
WS |
