Neely Set-Up on T for Return to All-Time High

AT&T has a Neely Crash Set-Up for a Return to the All-Time High

AT&T has a Neely Crash Set-Up for a Return to the All-Time High

T followed up on its 2002 crash with a partial retrace and a retest of the crash low in 2008. That is one of my favorite Neely set-ups for a return to the all-time high.

T formed a megaphone top (red) on its partial retrace and now it is bogged down at that megaphone VWAP.  It looks like it’s forming a triangle there, but that could morph into any kind of consolidation you can think of.

Once T breaks out from the VWAP consolidation, the next target is the all-time high near the megaphone top.

QQQ Likely Triangle

QQQ is Forming a Series of Megaphones inside Megaphones Across Roughly 139 - Would Usually Mean a Triangle

QQQ is Forming a Series of Megaphones inside Megaphones Across Roughly 139 – Would Usually Mean a Triangle

QQQ is forming a series of megaphones inside megaphones across roughly 139, with three gaps already around that level. That would usually mean a triangle is forming.

A triangle at the VWAP of a megaphone (navy blue on chart) would usually be a continuation pattern for a trip to the megaphone bottom (green scenario).  The purple scenario represents a Sornette melt-up pattern at the red megaphone VWAP before a melt-up to another new all-time high at the red megaphone top.

QQQ Rising Wedge

A Downwards Breakout from a Triangle would Likely Target the Bottom of the Red Rising Wedge

A trip to the navy blue megaphone bottom would likely target the bottom of the red rising wedge on the daily chart. A bounce there and breakout from the red rising wedge would target the wedge bottom.

QQQ Bounce

QQQ Just Bounced a Second Time Off the Bottom of its Blue Rising Megaphone

QQQ Bounced a Second Time Off the Bottom of its Blue Rising Megaphone

QQQ bounced a second time off the bottom of its blue rising megaphone on Friday. That’s fussy trading.

A genuine breakout through 141 means another new high. Otherwise QQQ is stalling, forming something like a triangle before the trip to the red rising wedge bottom, a bounce there, and breakdown to at least the mandatory retrace level of 105-106.

QQQ is Trying to Break Down

QQQ is Trying to Break Down Through Its Orange Megaphone VWAP and Light Blue Megaphone Top

QQQ is Trying to Break Down Through Its Orange Megaphone VWAP and Light Blue Megaphone Top

QQQ is trying to break out through its orange megaphone VWAP for a trip to the bottom of the red rising wedge (green scenario).

If opex trading holds the line here, expect another surge to new all-time highs to complete a cop.  The faster the top, the more likely QQQ is to reverse at the light blue megaphone VWAP for a huge move up.

The slower and bigger the top, the more likely QQQ is to go for the light blue megaphone bottom.