$QQQ Analysis to Nov '23: The trend is your friend.
In 2023, the tech sector has been a hot topic for investors, like a financial sitcom.
Since reaching 2023 highs back in July, the Nasdaq 100 has been in a continuing downtrend. Despite stories and events coming out left and right, there remains a bullish sentiment fighting back.
Given such volatile conditions, I've found it to be most beneficial to maintain a "random walk" mindset while using trend and VPA tell me where we might go.
The current trend is leading us back to the median price zone (orange dotted line), however, there are many that believe we are in a macro cup and handle formation and are about to breach new highs.
There will be news stories pulling investors left and right daily, one day will be "buy everything!" while the next day could be "sell everything!". It is riskier to allow news to cloud and bias your strategy than to follow volume and price.
Since reaching 2023 highs back in July, the Nasdaq 100 has been in a continuing downtrend. Despite stories and events coming out left and right, there remains a bullish sentiment fighting back.
Given such volatile conditions, I've found it to be most beneficial to maintain a "random walk" mindset while using trend and VPA tell me where we might go.
The current trend is leading us back to the median price zone (orange dotted line), however, there are many that believe we are in a macro cup and handle formation and are about to breach new highs.
There will be news stories pulling investors left and right daily, one day will be "buy everything!" while the next day could be "sell everything!". It is riskier to allow news to cloud and bias your strategy than to follow volume and price.
Trade active:
9/12/23:
After closing in sell zone on 9/11, zones have acted accordingly for shorting 376P and now reverting to $373. Will remain cash until next zone is reached, or as it stays in between trade a straddle
After closing in sell zone on 9/11, zones have acted accordingly for shorting 376P and now reverting to $373. Will remain cash until next zone is reached, or as it stays in between trade a straddle