Sending a quick note as many people are concerned about QQQ and SPY.
Most likely, we are going through a wave 4 correction before making a final push to complete wave 5 of this uptrend that started from 8/5. I think market will then due for a larger correction after wave 5 but that is a different story.
I have marked 2 key points for both QQQ and SPY (the green circle). In ideally situation, they both should bounce off the .382 Fibs, the first green circle, which also happens to be the 50D EMA, as well as the point to close the gap. So, we have 3 different signals to support a bounce here. This is true for both SPY and QQQ
In case we can't find support at .382, then we must find support at 0.5Fibs (the second green circle). As long as we hold above 0.5Fibs, then we are still in wave 4 correction, and a uptrend wave 5 will come.
There is a very small possiblity that market sell of hard here. We will know this if QQQ and SPY dip below the 0.5Fibs level. If this happens, it means we have already completed all 5 waves movement on 11/11, and are going through a much deeper ABC correction. I think this is a very small possiblity and can send update later if we enter into that situation.
