QQQ opened last Friday @ $320.28 and fell to its weekly low yesterday, Thursday, @ 292.95, a decline of over 27 QQQ pts in five days. Today's bounce notwithstanding, the EW pattern is projecting a move to below $250 by Sep 16th expiration at the earliest, and October 21st expiration at the latest. The Sep 16th $315P is well in-the-money and can be held here, or, rolled up into the Oct 21st expiration with strikes between $290-$270 depending on your tolerance for risk. There are seven weeks to go until Oct 21st expiration. At its Wave 2 pivot high on August 15th, QQQ was trading at $334.42, almost 40 points above yesterday's interim low, a decline of 40 pts in less than two weeks, with the steepest drop still ahead. QQQ Weekly IWM - Filled the gap It looks like IWM had to fill its early week gap before building up enough momentum to finally break below the Wave 2 trend channel. That looks likely next week, with targets well below Jun's lows.
