Thursday, March 10, 2011

NQ Friday's Trade Guideline

On the 60-min chart, Thursday's large gap-down open was likely wave 3 of C, followed by wave 4 of wave C. 
  • If so, I will be looking for wave 5 of C in the morning, with potential target of 2256 area, to complete the sequence. 
  • Once completed, I will be looking for the usual Friday afternoon rally.
I will use 2285 as Friday's Line-in-the-Sand. 
  • A gap-up opening above 2285 will be bullish, looking for a strong rally up to 2305, then 2320, then 2330
  • Below 2285, I will be looking for another leg down, w5 targeting 2265, then 2255 area.