DailyPlay – Invesco QQQ Trust (QQQ) – April 4, 2022

View QQQ Trade

Closing Trades

• FDX: 98.9% Loss: Sell to close Apr 14, 2022 $250 Call @ $0.14 Credit. 

QQQ Bearish Opening Trade Signal

Strategy Details

Strategy: Put Debit Spread

Strategy Direction: Bearish

Details: Buy to open May 20, 2022 $362/$350 Put Vertical @ $4.15 Debit

Counter Trend Signal: This is a bearish trade on an ETF that is experiencing a bullish 1M trend. 

1M/6M Trends: Bullish/Neutral

Technical Score: 8/10

OptionsPlay Score: 137

Entering the Trade

Use the following details to enter the trade on your trading platform. Please note that if there is a multi-leg option strategy, it should be entered as a single trade. 

Investment Rationale

Our bearish DailyPlay today is the Invesco QQQ Trust ETF that tracks the Nasdaq-100 index. On the daily chart, QQQ posted a Setup +9 count last Monday. On the weekly chart, QQQ had found support near the orange Base Line on 4 occasions in 2021. After breaking below the Base Line earlier this year, price has come back to retest the Base Line where it got rejected last week. This provides an excellent low-risk short opportunity for QQQ.