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US Equities showing cyclical failure
once again, prepare for these two scenarios
moving far above friday’s high will be a reason to expect a short covering rally. A floudnering market will probably find sellers later in the day monday. Or it can find sellers at the open and move down fast thru the low of Friday. That would be reason to take a long on UVXY 0.00%↑ on my trade plan and watch for weak equities that are being liquidated by traders scared to hold them.
Plan: I envision cyclical failure of the 80 day cycle on QQQ 0.00%↑will provide a 7% down move over the next 3 weeks, beginning immediately next week.
A reversal higher is not a reason to go long, unless its a day trade or day plus one trade. There would need to be great participation in the move higher with acceptance of the gap at 365.00. If that happens, that is reason to go long to minimum 370.00 quickly.
Again, I have cyclitecnical evidence that it breaks down so that is my bias.