Power Hour Update for Subscribers
Markets Extend Losses
🚨 Power Hour Update for Subscribers
🔍 Markets Extend Losses – No Signs of Slowing Yet
📊 Market Overview & Power Pivots
The relentless selling continues, with prices making new lows again today. There are still no clear signs of exhaustion, and the market remains vulnerable to further downside pressure.
📌 Power Pivots:
🔸 $ES: 5604
🔸 $NQ: 19528
The price action suggests ES is eyeing levels below 5500, similar to how it probed below 5600 earlier. Meanwhile, NQ is inching closer to a critical support at 19300—a daily close below this level could open the door for a much bigger drop, potentially another 1,000-point slide to 18,300.
🔑 Key Levels & Market Structure
🚨 Downside Scenarios – Trend Acceleration
🔻 $NQ Below 19300 → Path Opens to 18300
A daily close below this level confirms another major breakdown
Sellers will remain dominant, and momentum could pick up aggressively
Target Areas: 19100 → 18850 → 18300
🔻 $ES Breaking Below 5550 → Tests 5500 & Beyond
The market has been stair-stepping lower, and 5500 is now a magnet
Next downside target: 5480-5450 zone
🚀 Upside Scenarios – Relief Rally Potential
✅ $ES Above 5627 & $NQ Above 19700 → Relief Rally Attempt
If buyers can reclaim these levels into the close, we could see a short-covering rally
Target Areas: 5650-5685 ($ES) and 19800-20000 ($NQ)
📍 Key Decision Zones:
NQ 19300 → Huge breakdown trigger if lost
ES 5550 → Next area of interest for liquidity
📚 Market Education: How to Trade in a Freefalling Market
🔍 Recognizing & Trading Extreme Selling Conditions
Markets in freefall behave differently than typical trends. Here’s what to focus on:
📌 1. Lower Highs & Weak Bounces:
Relief rallies are often weak, and sellers use them to reload shorts.
If bounces can’t reclaim previous breakdown levels, expect further downside.
📌 2. Overshoot & Exhaustion Wicks:
Large downside moves can overshoot key levels before bouncing.
Watch for long wicks on high volume, signaling trapped shorts and potential reversals.
📌 3. Avoid Catching the Knife – Wait for Confirmation:
The biggest trap in bear markets is trying to call a bottom too early.
Wait for stabilization, bullish structure, and confirmation of a shift in momentum before attempting longs.
✅ How to Trade These Conditions
1️⃣ Momentum Short Setups
Sell bounces into resistance (e.g., ES 5627, NQ 19700)
Use tight stops to avoid getting trapped in sharp reversals
Target deeper support levels
2️⃣ Breakdown Continuation Trades
If NQ loses 19300 & ES breaks 5550, expect another sharp leg down
Trade with the trend—short weak bounces, don’t force long trades
3️⃣ Reversal Trade (Only If Confirmed)
If we see high volume wicks & failed breakdowns, potential for squeeze
Confirmation required → Must reclaim key levels like 5627 ($ES) & 19700 ($NQ)
📌 Final Thoughts – Is the Market Setting Up for a Bigger Crash?
✔ NQ 19300 is the key level for the close—losing this level can accelerate selling another 1,000 points.
✔ ES is methodically stepping lower, targeting sub-5500 next.
✔ Buyers need to reclaim key levels fast, or markets remain in freefall mode.
✔ Be disciplined & avoid bottom fishing too soon—trade the trend, not the hope.
🔎 Stay sharp, protect capital, and let price action dictate the trades!