The QQQ’s made new 12 month highs again this morning, continuing to grind higher ahead of the FED meeting next week.
This week, Wall Street seems to be pivoting away from tech stocks. However, traders seem to be holding their nose and buying tech even though they think valuations are getting out of hand. Now, I think we are so extended, that it doesn’t make sense to continue buying tech anymore. The risk to the downside from here is much greater than the risk of going higher, in my opinion.
A new 12-month high in the QQQ’s at $356.58 was made this morning.
Above it, there is a gap to fill at $361.10 with $366.50-$368 the next area of resistance above that.
Below $356.58, there is potential support at $355, $352 , $347.99, 347, $336.67, a gap fill to $331.65, with $330, $327, $324, $320 and $317 below that.