Nasdaq Clearly In Control

The $NQ Nasdaq busted out of its Neutral Zone today and seems well on its way to a bullish breakout. 

I know you might be thinking "how could a new all time high not be a bullish breakout?" How many times have you seen an asset trade to new all time highs, then give it right back and bang around sideways, or reverse completely? Probably more times than you can count, and likely a reason why you might not be a fan of buying new all time highs. 

Not to be confused with the Bull Quiet market regime, the Neutral Zone refers to a micro regime within a larger regime. 

While it is bullish that we have closed on or near our highs for the past three trading days, this is in fact what strong buying looks like. But that doesn't give us the green light to load the boat and get over leveraged. 

The time to be buying was when we were buying, for the past two months. We want to be loading up on low risk "tests" that confirm the bullishness and longevity of the move, not well after the move is obvious, like it is now. 

The real fear that most traders and investors have is that when they finally realize it's bullish that it turns out being the top tick of the bull run, and we go into a major market selloff (I consider this a greater than 8% selloff from highs).

For the $NQ ($QQQ, $NDX or any NASDAQ based product) there are three major requirements before a major market selloff is triggered. 

• SQN in Bull Volatile (>1.6 SQN) for a sustained period
• Price above upward trend line or what I consider a parabolic rise
• Price closes above the monthly R3 Pivot

R3 Pivot is at 15534 (200 points higher)

SQN is currently at 1.39

And price is not a rising parabolic, in fact last week it dipped below the bottom trend giving us a lot of upside breathing room. 

If this strength continues we could easily get above the R3 monthly pivot, which would pull the SQN into Bull Volatile. 

Finally, a measured move target on $NQ is around the 15,750 area which would be a parabolic rise IF it happens this month. 

These requirements to a major market selloff are well within reach. However if we continue the pattern of pullbacks after a strong top, this extends the likelihood and we can play this game for months. 

In the Trading Lab we've made 7 buys of the $NQ Futures (or $QQQ or any derivative) since the 14k level, adding on failed weakness. 

This has been our most successful strategy for the past few years, buying weakness, identifying tops and stepping out of the way when weakness arrives. 

As a member of the Trading Lab you will get access to trading this strategy with an email alert giving advanced notice of the impending trade, with clear buy levels, stop prices and analysis to be warned when to take profits (or hedge). 

Know exactly when to get the heck out of the way!

The price to the Trading Lab will be going up to $397 on September 1st for new members. If you join before September 1st, 2021, you can lock in the $297 price for the Trading Lab FOREVER!

As a trading lab member you will get access to:

• Futures End of Day Strategy via email (takes 5 minutes per day to implement)
• FX End of Day Strategy (takes 5 minutes per day to implement)
• Monthly Macro ETF Strategy (takes 5 minutes per month to implement)
• Weekly Crypto Swing Trading Strategy (takes 5 minutes per day to implement)
• Short Squeeze Stock strategy (catch high flying short squeezes right before they take off for 30, 50, 100% moves in a single day)
• 24/7 Slack Trading Room with live alerts for all trades and to discuss any of the trades
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• Library of Trading Lab exclusive Trading Course

For all of the strategies, you will receive an email right when I send out the alerts. 

If you have any questions just hit me up with an email.🖖 💪 🔥