The QQQ's has failed to find a direction in the market and continues to be rangebound. I'm still leaning bearish but I'm not yet ready to commit to long term shorts just yet. I want to see a breakout or breakdown before I commit to a bias.
Support is the $50 area and resistance is at $55.50, I want to see a daily close above or below for me to consider that area to be broken. I marked the key areas with green arrows.
European concerns are still a drag on the market and could finally push the market enough to breakdown. I recently moved 70% of my long term portfolio into cash (Composed of 50% T-Bills/50% TIPS) to position for a move down. If the lows break I expect a large move down which could take us to the $44 area in the QQQ's.
Europe is in a tough situation which I don't think will end well. EU has yet to agree on terms on how to handle Greece's bailout situation. If the EU were to fail to agree I could see risk off trades back in play which could lead the metals higher once again. I will keep an eye on this situation to look for opportunities to trade.
Our Avon (AVP) trade is still in play but is real close to stopping out. Normally I like to see a bounce occur much faster, but the market has been pretty choppy last few days.