Nasdaq 100 Cup n' Handle, QQQ to $190

A Chart a Day #17: The Nasdaq Composite Weekly

Looks like a pretty convincing sell to me on this long term time frame. Note that if you use a logarithmic price scale, as I normally do, then the Nasdaq would have a little further to run before hitting the trendline that it hit on this linear chart. I did the linear chart because everyone seems to be talking about this chart and the trendline touch today only happened on this scaling. I think its a pretty low risk area to be scaling into shorts regardless, tech or otherwise.

Disclosure: I shorted TYH today, as a long term position.

Chart a Day #14 Direxian Tech 3x Bull Bubble (TYH)

I'm gonna call this "tech bubble 3.0," which follows 1.0 in 2000 and 2.0 in 2007. As I pointed out a few days ago, valuations are at the highest levels they have ever been in history. We have a fed fueled bubble in the entire stock market but especially in tech stocks! I think this Direxian 3x really argues this point well since everyone uses insane leverage these days. I tried to short the TYH today but my broker could not locate shares. I started shorting FAS instead and sold my SPY calls. There's more to be said about this but I have to run.

Disclosure: I am short AAPL

Here Comes Another Bubble