Great Market Correction - Close Remarks

1. Great Market Correction today because the NASDAQ 100 has successfully broken down 200MA with a gap down, which usually is powerful for the market direction. If the bulls can not get back this gap in three days, as a bear, what we need to do is just sleeping with our QID position or other short positions.

2. Also notice that RSI has broken down 50, that usually means the market will go lower.

3. As I mentioned before, 38 is critical for QID, and if 38 is successfully broken out, It should go to the ~40 level soon. Today, we can feel the power of the broken out, QID hits a high of 39.91. What a nice day.

4. All the signals including short term QID and QLD charts are pointing to a sure correction now. So expecting new lower than today's low is very reasonable. Holding your short positions tight will be wise even if tomorrow the market bounces back. Remember, this week is OE week.

5. With regard to QID, 42.5 is the next major resistance level, if QID can break out 42.5, it will try to hit 50 for sure.

Please note, once I see some warning signs on QID and need to sell QID, I will post the message in the blog as soon as possible.

Enjoy the Great Market Correction now.