The pattern shown is so gnarly-perfect that I can scarcely imagine it not working. By this I mean to imply, looking ahead, that 1) QQQ will not thrust decisively above it soon, meaning within the next 2-3 weeks, and 2) Friday’s top just 31 cents below the target could conceivably mark the start of a bear market. The E-Mini Nasdaq made a corresponding top not at a ‘D’ target, but at the p2 ‘secondary pivot’ of a larger pattern. If you were able to buy put butterflies on QQQ using 240/250/260 options expiring on Feb 19, please let me know in the chat room so that I can determine whether to establish a tracking position. Unless the Cubes fall apart straightaway, there are likely to be additional opportunities to buy the ‘fly on-the-cheap. _______ UPDATE (Dec 21, 6:10 p.m.): A bid of around 0.20 still looks about right for the butterfly spread, but you can go 2-3 cents higher if none come at the lower price. _______ UPDATE (Dec 22, 8:36 p.m.): Numerous subscribers have reported buying the butterfly spread for as little as 0.21. Accordingly, I will track four of them for 0.22. For now, do nothing further if you own the spread.
QQQ – Nasdaq ETF (Last:309.76)