Here are the Market Club Weekly and Daily charts for the QQQQ:
The Weekly chart above shows that the market is still on it's September 2, 2008 SELL Signal. Remember, I use the Weekly chart to determine the trend and for trading purposes. Since some traders prefer to trade in and out with the Daily charts, here is the Daily chart:
Note that today, the Daily Q chart triggered a SELL signal after standing aside from the previous BUY Triangle. All MC systems are now back aligned on the Short side of the market.
I found tonight's Weekly chart of Google of great interest and potential:
I've drawn in a wedge or triangle formation that has been developing over the past five weeks. Including after hours trading today, Google fell 10%. Is this a selling climax, or the beginning of a new leg down? A selling climax is defined as trading to a new intra-day low but closing up for the day. Clearly, Google's drop today was not a selling climax. That leaves one alternative, the beginning of a new leg down. Breaking and closing below that lower trend line in the annotated chart above would represent an extremely bearish pattern, suggesting new 52 week lows ahead for Google. That would be a drop to under $310 and probably well below $300.
There you have it, the market's recent counter-trend rally seems to have run it's course and path of least resistance is down.