*Note, I am going to post NFTRH+ dry runs at the site using the password for the week, but will not send a direct email, so as not to clutter the in boxes of those who are not interested.
NDX is positive today and just below the optimum high for a right shoulder to the theoretical bearish H&S. I already bought SQQQ and am not even thinking of selling it until NDX climbs above the red lateral resistance line.
If one is bearish on big tech, this is where they would take a position. A short or puts against QQQ or one of the bear ETFs would be the vehicles. This trade will be tracked by NDX, for record purposes.
Side Note: I actually bought big tech captain Google today as it is down handily and near support. So I am not going whole hog bear here. But again, if your fundamental analysis is bearish, this would be a spot to take a shot on NDX.
Sell Short Target: Current level, 3602 up to 3620
Downside Target: 3220 to 3180
Stop Loss: Above the red resistance line at 3625 or as suits individual risk tolerance
Note (5.7.14): Personal profit taken on SQQQ of just under 4%. Virtual trade remains in effect per parameters above, but I am trading within the trade. Will possibly re-enter on a bounce. We repeat, profit – large or small – is always good.
Note (5.14.14): SQQQ bought back in personal account at 52.83. May be sold again at any time.
Note (5.16.14): SQQQ sold for a 5% gain.
Note (5.21.14): Bear trade in NDX stops out at May 21 close of 3635.