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Nasdaq 100 Index ETF QQQ: Exhaustion?
​November 02 2016 ( From TradingView )
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Financial assets like the SP500 Index (SPY ETF) had a very good ​​performance
​​indeed ​since bottoming out strongly post Brexit fears ​as even ​the Nasdaq 100 
​Index (QQQ ETF) ​joined the party; ​QQQ ETF ​was Outperforming the Mighty
​SPY ETF ​Tremendously since the beginning of July 2016 til October 25th...
​​After testing many times the Resistance of a Tiny Steep Daily Rising Wedge
​for QQQ ETF, exhaustion phase bring to break the Support Trendline of that
Rising Wedge.​   
​(See First Chart Below - Blue Trendlines)​

QQQ ETF is at +5.2% above the 200 DMA ​(Day Moving ​Average) as of the ​close of ​November 1 2016 and SPY ETF is only at +1.5% above it s 200 DMA.​


​​But few of us realize ​the ​outperformance of the Nasdaq ​100 
Index​ ​(QQQ ETF) ​compare to the Mighty SP500 Index (SPY ETF) on a relative basis since June 24 after testing a Major Support Trendline that started back since November 2008!. ​​(See Second Chart Below - Red Trendline - Ellipse)

​​​But since peaking on October 25 on a relative basis with SPY ETF, the QQQ ETF not only rejected the previous peak of December 8 2015 but broke the Uptrend Channel. 
​ ​(See Second Chart Below - Yellow Trendline - Ellipse)

What is quite interesting, is that on a relative basis, instead of the SP500 Index (SPY ETF), let s compare the QQQ ETF on a relative basis with the SP 100 Index (OEF ETF). Then we compare in those two indexes the top 100 stocks weekly. What we have was a brand new high on a relative basis since March 2001 on October 24 (ratio of QQQ vs OEF ETF) that was rejected for now. ​(See Third Chart Below - Weekly Chart - Ellipse)

What strikes me the most, ​​is at a time were relative volatility is on the low side, QQQ ETF is rejecting new highs price wise (mainly from Apple weakness lately (10.88% of the QQQ) and is in the process of testing back a Monthly Major Resistance Trendline that started back since March 2000!. Bulls need to protect that Trendline at all costs. (See Fourth Chart Below - Red Trendline - Ellipse)

As the QQQ was a very strong performer lately and outperformed tremendously the Broad Market, it peaked and reached Exhaustion Level on October 25 as month end and elections fears kicked in. Investors are still fully invested in those high beta stocks and face a Consolidation Phase.

Nasdaq 100 Index ETF QQQ: Exhaustion $COMPQ  #Trading #nasdaq #investing #sp500 #aapl #stocks #risk

Financialiceberg.Com
Daily RATIO
Nasdaq 100 Index ETF ( QQQ )
over SP500 Index ETF ( SPY ) 
​20 DMA ( Day Moving Average - Yellow Line )​
50 DMA ( Day Moving Average - Red Line )​​
200 DMA ( Day Moving Average - Green Line )​

Financialiceberg.Com
Weekly RATIO (Blue Line)
Nasdaq 100 Index ETF (QQQ)
over SP100 Index (OEF)
​4 WMA ( Weekly Moving Average - Yellow Line )​
12 WMA ( Weekly Moving Average - Red Line )​​
50 WMA ( Weekly Moving Average - Green Line )​


Financialiceberg.Com
Daily Chart ( Candles )
Nasdaq 100 Index ETF ( QQQ )
20 DMA ( Day Moving Average - Yellow Line )​
50 DMA ( Day Moving Average - Red Line )​​
200 DMA ( Day Moving Average - Green Line )​​​


​Monthly Chart ( Candles )
Nasdaq 100 Index ETF ( QQQ )


Financialiceberg.Com