I’d planned to remove QQQ from the list because of a lack of interest. However, due to last week’s unexpected put-butterfly lollapalooza in the chat room, and because of the promise of possible excitement to come, I’ll leave the Cubes on the home page for now. You should all have an ample supply of Sep 30 250/270/290 put butterflies purchased for 0.22 or less, and so I will track 16 of them at that price. For the present, do nothing further. QQQ has gotten with five-one-hundredths of a percentage point of the 368.70 rally target I first advertised here some time ago, and it is as promising a place to get short as we’ve seen in a long while. [Note: As of 7/26, the target has now been achieved with a new record high at 368.89.] I trust that the money you are risking to get short has come entirely come from profits tied to a bullish target whose reliability was never in doubt. Even so, we shouldn’t be shocked if a stock market gripped by fever goes even higher. My hunch is that any rally will not get very far — just far enough to raise doubts in the minds of other traders, bearishly inclined, who are aware of this pattern and its target. Our $350 bet will at least make whatever happens entertaining to watch — and not too costly if fever wins out. _______ UPDATE (Aug 5, 11:10 p.m. ET): Addled with methamphetamine, the Cubes bored through a granite Hidden Pivot resistance on the opening bar and then spent the rest of the day frolicking just above it. This is NOT how head fakes/false breakouts occur, so if you’ve had your fingers crossed that the wack-jobs who have been driving this hoax into outer space were close to getting their comeuppance, I’d suggest shelving your hopes for the time being.
QQQ – Nasdaq ETF (Last:369.78)