New weakness trend in Nasdaq 100?

Although it took a while to play out, June seems to be marking the QQQQ for weakness ahead.  The index is having trouble getting any footing, and our model indicators are pointing to further problems in the index.

Monday reversal

Monday began with a continuation to the upswing seen last week in the QQQQ, but reversed during the session.  We think this will likely set a bearish tone for the rest of the week in the QQQQ.

Current topping process?

The current 'cosolidation' in the QQQQ on Friday and Monday's session could mark an important top.  Having been on a surge for several weeks, the QQQQ has outperformed the S&P aggressively recently and seems prime for a pullback.

More upside surprises - Google leads the way

Wednesday after hours, IBM and eBay reported what seemed like decent numbers, but were unable to inspire the QQQQ to the upside on Thursday.  After hours Thursday however, the market was treated to an "upside shock" with Google doing well.  GOOG was up over 17% and the QQQQ up almost 1.5% after hours, making for a strong Friday.

Upside surprises

Intel et al. surprising on the upside has the bulls back in control.  Although we don't expect this to have much staying power, for now the upside is the dominant theme in the QQQQ.

Selling resuming?

Monday's action combined with last Friday's strong selling seem to be pointing to a possible technical breakdown that could be strong in nature.  We believe the buying strength has dissipated and selling should again take over as the main theme in the QQQQ.

QQQQ holds on to gains stubbornly

After bouncing surprisingly strongly, the QQQQ has fallen only modestly since its peak last week.  We think this is likely to be short lived and selling pressure should resume soon.