Breakout

thumb_nq_12-10_daily__3_10_2010_-_9_14_2010The breakout on September 9 from the summer triangle is now solidly confirmed with a push by NQ (NDX futures) well above the August 9 high of 1916.25 (nice clean 30 day cycle). Intraday support is at 1921, 61.8% 2010 and if we can hold that level on a closing basis in the next few days, we should be targeting the next area of resistance between 1968 and 1974 (chart). It looks like the markets pulled a fast one on everybody, anticipating a fall correction right at the end of the summer while everyone was snoozing and hoarding cash for an October collapse. I find it absolutely fascinating that the strong weighing of AAPL in NDX has enabled that index, and the corresponding ETF QQQQ, to flirt with the June 2007 levels (we also have to throw in 3rd party vendors benefiting from the AAPL juggernaut). If you held QQQQ the past 3 years, closed your eyes and ignored the headlines, it's as if nothing happened, even though the DOW is 3000 points lower. At this rate, the dot.com collapse might finally get a shot at a decent retrace...