When Nasdaq looks strong, I still check the leaders before trusting the move. If the index is green but the strongest names are flat or fading, that tells a different story than a broad leadership push.
For me the best pullbacks are the ones where leaders hold above prior breakout zones. That shows buyers are not fully leaving the trade. If leaders start losing those zones one by one, the index can look fine for a while before the weakness becomes obvious.
I am not trying to catch every dip. I would rather wait for the names that hold structure while the market cools down.
For me the best pullbacks are the ones where leaders hold above prior breakout zones. That shows buyers are not fully leaving the trade. If leaders start losing those zones one by one, the index can look fine for a while before the weakness becomes obvious.
I am not trying to catch every dip. I would rather wait for the names that hold structure while the market cools down.
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