The Fluid Trader

Let’s take a look at the ETF’sfor today.

DIA:

The DIA continued its downward Trend and traded in a lateral consolidation for most of the day to breakout upwards to close with a positive.

• Price continued its downward consolidation that started yesterday.
• This was met with a lateral consolidation that lasted for the better part of the day.
• Price broke furiously upwards out of this consolidation with large volume and leveled off at close.

Price was consolidating for most of the day and wasn’t doing anything exciting until the end of day where there was a massive buying power to end the day.  It will be interesting to see what happens on Monday.

SPY:

SPY had a similar configuration of DIA where the downward trend continued meeting the lateral consolidation to have a super breakout towards the end of the day.

• Price continued its downward trend from yesterday.
• We see price consolidating for most of the day in a lateral fashion.
• Price Broke out upwards with a vengence as if it didn’t want to be held down!

Like the DIA, price didn’t do anything exciting today until it broke out at the end of the session to close with a positive.

QQQQ:

We saw the Q’s continue its downward trend to consolidate and close higher.

• Price continued in its downward consolidation that started yesterday.
• We then have price moving in a lateral consolidation for most of the day.
• We see price breakout upwards to close higher than yesterday’s close.

The Q’s followed the patterns of the previous ETFs and had a huge burst of buying pressure at the end.  Let’s see what Monday has in store for us!

Pivot Points and Price Targets (Supports and Resistance) for Monday, 02/25/08, for QQQQ to look out for:

• Pivot Point = 43.32
• Support 1 = 42.95.  Support 2 = 42.23
• Resistance 1 = 44.04.  Resistance 2 = 44.41

So we had a bland day of channel trading until the end where we had a burst of buying energy.  It will be interesting to see what happens on Monday!

Be safe and happy trading!