IBD has now called the market up-trend under pressure and the QQQ short term trend could turn down with a weak or flat day on Monday. I reduced my long positions on Friday with the imminent end of mutual fund window dressing on Tuesday with the end of the second quarter. Too many stocks appeared to be breaking down and a lot of GLBs were failing. When stocks that break out fail, it is a warning sign for the market. And now we have the uncertain developments in Greece to deal with.
The QQQ has formed a possible triple top,with its failure to hold the level above the top line in this chart and the failure to hold the lower line. The QQQ has stalled the past few 2 months. The next most important support level is at the lower BB, around 107.60. If this fails, we could be in for a major decline. It is also possible that a quick decline could set up a rally into second quarter earnings release in mid-month. I am being super cautious.
