QQQ Breakout vs Breakdown

QQQ is flashing both a potential double top & a rising wedge, which are closely related bearish setups
1. Double Top (Top 1 & Top 2 around $583)

• Price hits the same high twice, fails to break through, then rolls over
  
• Not confirmed until QQQ closes below the “neckline” ($574–$575)
  
• If confirmed, projected drop is the height of the pattern (~24 pts) for a target of $560
  

2. Rising Wedge

• Higher highs + higher lows, but slope is narrowing
  
• QQQ’s recent grind into $583 fits this pattern since momentum is slowing as buyers lose control
  
• Rising wedges tend to break down ~70% of the time, especially near major resistance
  
• Break below the wedge lower bound ($574–$575) would align with the double top neckline break
  

Bull vs Bear Scenarios

• If QQQ breaks above $586–$587 with volume, it invalidates both bearish patterns
  
• That would trigger continuation to $600
  
• Close below $574–$575 neckline confirms the double top & wedge breakdown
  

Right now QQQ is “coiled” in a rising wedge into resistance with a double top risk

• Bulls must clear $586+ to avoid the trap
  
• Bears gain control if $574 fails, unlocking gap-fill downside