QQQ shows a reversal is near

QQQ experienced a number of turning points showing increased weakness in the sell off we have been seeing over the past week.

• False breakout to the upside
  
• Strong growth in volume confirming the breakout direction
  
• Hammer candle on close indicating reversal maybe coming after later day retracement
  
• RSI breaks above SMA line for first time
  

This change in direction we have seen today with a new interest from the bulls shows that ever selling we experience going forward will likely be tested by the bulls again.

For trend traders I would recommend sitting on the side lines until we see a stronger trend form either to the up or down side. This current down trend is showing weakness.