Monday Morning Update on ETFs

In our Sunday blog post we said that a mega rally in DOW, NASDAQ & S&P as it is claimed by some (social) media is unlikely:

From an ATH-perspective QQQ / Nasdaq is ready for a bigger correction. The current (orange) situation is similar to more than 30 other ATH-situations. And in each situation a correction occured between 1,6% and 23,1%.
SPY in contrast to QQQ isn't ready for a correction yet. [...] The same situation can be found in the DIA / DOWJONES numbers

In the early morning the futures started positive but turned negative after approx. 2 hours.


QQQ / Nasdaq


The first 4-hour forecast for QQQ shows a zig-zag formation. The resistance at 368 USD is gone. Our AI believes that this level is not relevant anymore. Maybe we see a test of the 15.000 level of Nasdaq today. But the major tendency is still positive.


SPY / S&P

SPY looks positive. The AI sees an open triangle with bullish tendencies. Maybe we test the 443,50 USD level in SPY today - which is 4435 in the S&P500.


DIA / DOW JONES

DIA (aka DOW) is captured in an open triangle, too. For the morning (futures) our AI forecasted the dip to 353(00) or even to 352(00). The rest of the day can be read as a fight back above 355(00). But if the futures dip below 354(00) then 354(00), 354(20) and 355(50) act as strong resistance levels.


Summary

No rally. No crash. A Monday morning correction. If the prices cross the calculated (dotted) support lines the 3 big indices get in trouble.