Market Forecast for Monday

So what is going to happen Monday? I feel that there is going to be a failed push up and then confusion in the markets and choppyness Monday afternoon after a push up in the morning. Lets take a look at the chart for QQQ:

Things were looking good until there was a red candle on friday. Even though the red candle had shown up friday, it still had a bit of a tail on the bottom. But not by much. A few things here: number one, there is divergence with the Williams %R indicator, which usually spells trouble. This makes me thing there is going to be a slight push up monday morning, but there just wont be any steam left behind the market to keep things up in the air. Expect chop Monday-Tuesday.
Also I am seeing the beginning of a coiled spring here. If this continues to coil we will check to see which way things are going to blow: the topside or the bottomside.
But for now what you need to know is to expect chop Monday and Tuesday.

Look for an interesting post on a new type of indicator I discovered later today to greatly help you in your stock scans.

Tradinginsider