QQQ new STAGE 1 or Stage 4 markdown coming?
Another study on market cycles!
Starting this study from COVID bottom, we look at the bigger cycle using the 200ma and the intermediate cycles with the 40ma.
Currently -
I see an intermediate stage 1 base which is both a diamond and range box breakout. stage 2 identified with a 40ma cross.
Downward broadening channel break with another upward extended broadening thats being corrected right now putting it back under the channel.
Now we have to see if this marks a small intermediate top (consolidation) of a stage 3 going downtrend into stage 4 or not. Watch the 40ma!
Big picture STAGE 1? Still under that 200ma, it barely crossed so it would take a big move up if that were to happen. If it crosses we could assume the big diamond bottom and range box could have been a new STAGE 1.
or
If the intermediate stage 4 markdown forms from here...
Higher low/ double bottom/or lower low to previous stage 1
will show if this will be a much wider stage 1 base or still in an extended stage 4 markdown under the 40ma and 200ma.
Starting this study from COVID bottom, we look at the bigger cycle using the 200ma and the intermediate cycles with the 40ma.
Currently -
I see an intermediate stage 1 base which is both a diamond and range box breakout. stage 2 identified with a 40ma cross.
Downward broadening channel break with another upward extended broadening thats being corrected right now putting it back under the channel.
Now we have to see if this marks a small intermediate top (consolidation) of a stage 3 going downtrend into stage 4 or not. Watch the 40ma!
Big picture STAGE 1? Still under that 200ma, it barely crossed so it would take a big move up if that were to happen. If it crosses we could assume the big diamond bottom and range box could have been a new STAGE 1.
or
If the intermediate stage 4 markdown forms from here...
Higher low/ double bottom/or lower low to previous stage 1
will show if this will be a much wider stage 1 base or still in an extended stage 4 markdown under the 40ma and 200ma.
Comment:
40ma reaction watch. Could take a few days for confirmation but important to see if momentum shifts.
