Let’s be honest. Lately, does it feel like the Santa Rally is not going to happen?
Why? Because the market fell hard.
This is a classic recency bias — people tend to believe recent drops will continue forever.
In fact, this pullback is a good thing. It is a necessary “nice reset.”
Without this reset, how can the market make a new higher high?
Let me walk you through it.
📉 The Overshoot Reality
Yes, the drop in QQQ was larger than I expected (it fell below 605).
But this is just a normal cleanup in the AI sector.
At the same time, the Russell 2000 is still strong.
This divergence shows healthy market breadth, and that is very important.
🎯 Sniper Entry Zones
When is the bottom? Don’t guess — watch the signals.
Two leading indicators:
1. TLT (bond market): Bonds are starting to stabilize. This usually comes before the stock market bottoms.
2. NVDA key level: Watch the 165–168 range. This area is likely the market low for this pullback.
Now what?
If you want to enjoy a Santa Rally that makes bears desperate, bulls must first suffer through this reset.
If you don’t dare to buy at these levels, once QQQ moves above 643, the chance is gone.
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