QQQ: Equal legs area found buyers to resume the rally
|In this article we will analyze our forecast for QQQ ETF in the short term cycle. Since the short term peak of QQQ from 05.01.2023 to end wave (i) we have been expecting a pullback within wave (ii) to take place. Here at Elliott Wave Forecast we have in place a system that allows us to measure an area in which we can expect a react to take place.
We call it equal legs area or blue box area as you might have seen within our charts. These areas provide us with at least an 85% chance of a minimum of 3 waves bounce or reaction to take place. We can use these areas to enter in the market with a defined entry, Stop Loss and exit strategy.
We teach how to use our system within our member’s area and live trading room. Once a member or in trial you will be able to gather more of that information under your disposal. Nevertheless, let’s have a look now on the 1 hour chart of QQQ ETF as provided to members from 05.04.2023. We have been within the equal legs area with a possible swing lower missing to end the cycle.
QQQ 1-hour midday update 05.04.2023
As we can see the market has bounced within wave (x) and we have been forecasting little more downside within wave c of (y) of ((iv)) to end within equal legs area of 316.45 – 312.72. We recommend members to always buy from the 100% extension area with a stop loss just below the 1.618 area. Fast forward, towards the Friday’s Midday update now from 05.12.2023, we will see that the market has already reacted higher and what we expect next.
QQQ 1-hour midday update 05.12.2023
A very clear reaction higher took place from 05.04.2023 within the equal legs area 316.45 – 312.72. Reaction higher as an impulse within wave i of (iii) of ((iii)) expecting a ii pullback. Afterwards a wave iii of (iii) higher is expected to take place. We have switched the view to a more aggressive one. You can learn more once become a member at Elliott Wave Forecast.
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