11/10/2020 02:04

QQQ Scalp idea

Clear descending triangle on the 5 min chart. Many attempts were made to break, but we consolidated/bounced from it. This tells us this is a strong key level, which would result in a nice move downward if we broke. As we are getting tighter and closer to the end of the triangle, I would start looking for an entry for a break of $294.30. Entries depend on your preference. Some people enter during the break, before the break, and one candle after the break for confirmation. I personally like to enter before the break and use a tight SL, but completely depends on your style. Anyways, regardless of the entry, you would have caught a $2 move from that scalp. I usually exit no longer than 5 minutes after entering and lock in profits as I go. With weeklies, you can easily lock in 15%+ in a single minute with these scalps.

For the second entry, there is a mini bear flag forming, and you can once again take another short entry on the break of the flag. For this trade, I would use the previous key level as my SL, $294.34. My PT would be $286.9, but I would lock in profits earlier as I am only trying to scalp. Once again, regardless of entry style, you would have been able to lock a $4 downside move in a short period of time.

Scalping is great with choppy markets, but to be a good scalper you must be very disciplined and stick to your rules. You also need to be very quick with your decisions and accept taking small losses. These are super quick moves so I don’t want people to end up chasing on entries.

$Invesco QQQ Trust
$ProShares Ultra VIX Short-Term Futures
Invesco QQQ Trust-0
Disclaimer: The comments, opinions and analysis expressed herein are for informational and educational purposes only and shoulk not be considered as individual investment advice or recommendations. Webull is not responsible or liable in any way for comments posted by pur users.


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All Comments(4)

tan***com11/10/2020 04:02
You seem to know a lot more than I do since I’m still pretty new to trading and investing . Was wondering what’s your opinion about the idea of selling some short term covered calls of my UVXY shares to reduce my cost bases ? Probably a bad idea if I sget a chance to sell before Friday, and can’t sell because of the contract ? Also buying Sqqq tomorrow using cash secured puts for a safer entry point if market are going down ? Thanks

tan***com11/10/2020 04:10

Ok thank you . I was thinking about that as a way to recover some losses but was wondering if I might be digging a bigger hole ...

CroCaCola11/10/2020 04:05

I think writing covered calls on UVXY is a great idea. Not sure about the sqqq puts though.


Bad Mutha Fuka11/10/2020 02:59
This is a lot more detailed than my trading stragedy of flipping a coin!

CroCaCola11/10/2020 03:01

you flip a coin then buy calls and puts.


Bez11/10/2020 02:24

CroCaCola11/10/2020 03:28

Trump...tgat mf'er Lord have mercy. I also did not do anything active today, just wasn't feeling any trades so I sat on my hand...down like -2% for the day on my long positions but I ain't sweating it.

Bez11/10/2020 03:14

Lol not much
Just want Trump to go to mar-a-lago for the winter, before Deutsche Bank seizes it along with most of his assets.
Things were good in the pm / am. Didnt do anything active today.
How are you doing?

View all 3 replies


Joe Moore11/10/2020 02:09
well said

CroCaCola11/10/2020 02:19

thanks bud


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