QQQQ 30 minute chart- Possible Head and Shoulders top
A bounce off this 36.20 support level, up to the 37 area, followed by a break of this support will form a Head and shoulders top, which should be followed by a large down move
The QQQQ managed to eek out a high of 37.32, yesterday, brushing against the resistance of the 34 EMA (exponential moving average), then closing right near its open, forming a classic doji sell setup, which was confirmed by today's open. It has also issued a CCI zero line reject sell signal today. (Note the green cci indicator pointing down after slightly penetrating the zero line.) Barring a stunning reversal today, it looks like the NASDAQ market has whipped back down. We'll see how it handles the support at the 36.20 level. If it can gain some momentum here, it should take out that level pretty easily.
Moving back to the Elliott Wave Analysis, it's possible that Wave 4 that I had spoken about in my previous posts is over, and we should be moving down to new lows, however we still haven't reached the minimum objectives of 38.35. I'm looking at an alternate count which says we are in wave iiii of 5 down, in which case we are headed for new lows in a big way.