The Long Investor
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$QQQ TOP 20
🕑 Added 2025-05-11 19:28:46 +0000 UTCThe $QQQ, $SPY and $DJI all finished at the same spot this week, testing their own 50 WMA.
This is important and as I have said a number of times now, history has shown us that a retest of the 50 WMA typically happens before any direction is decided upon.
Any one who can say right now that the direction is to new all time highs or to new lows is guessing and gambling and we do not behave like that in here, we manage risk and prepare for what happens when we get confirmation.
A race track is for guessing and gambling.
A test at this level leading into crunch talks between the US and China tells us that the market is ready to move higher ONCE there is an adequate deal made, because we know that the market DOES NOT like tariffs which is why there was such a strong sell off in March and April
This much is clear!
So right now the market is giving the talks as much benefit it can to reach a deal.
But there are cracks and $AAPL and $GOOG are showing this.
I think both sides know they need to make a deal but China has time on its side because of their control on their economy, the US is very vulnerable to the US 10YR rising, the $DXY moving down, inflation rising and the FED not aligned with Trumps views.....China does not have this issue (as much), this is quite clear.
Cards or no Cards, time is the issue here.
So I am watching to see if the 50 WMA can get flipped to support this week, if it can, then I believe $527 and the 0.9 Fib is possible next.
A rejection at $487 and we must be vigilant to trim some Mega Cap Tech positions I believe ($AMZN for me)
