The video in this report is only accessible to members
The video in this report is only accessible to members

The drawdown in $SPX neared September lows to kick off the new week, while NASDAQ officially did break down to new 2022 lows before its late rally.  Does this mean “all bets are off” for an October bounce?  Absolutely not.  Treasury yields look to have an excellent chance of stalling near prior peaks and rolling over.  Furthermore, positive divergences in momentum are now present coinciding with a plethora of DeMark-based exhaustion signals that should likely bring about a larger-than-expected trading bounce between Tuesday/Wednesday of this week.   Breadth has been “less bad” on this recent downdraft than was seen last Monday/Tuesday on the rally.  In addition, various groups like Healthcare, Financials, and Discretionary are holding up better than expected.  Semiconductor ETF’s plunging to new lows, is a near-term problem for market bulls, of course, but downside here looks limited.  Overall, with regards to $QQQ, I’m not expecting a move down under 260, while a bounce looks probable which will help prices regain 280 and challenge October peaks near 284.  No change in thinking.  This dip should be bought.

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Performance data shows some interesting pa...

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