Gap Down – Leaders act Well – Take 2
Richard Moglen
Stock Trader & Student of the Markets. I help traders improve their systems & performance at TraderLion & Deepvue
January 13, 2025
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Market Action
QQQ – Large gap down and then a strong close with leaders acting well also. Potential short term trend reversal here if we get good follow through. We are still below the declining 21ema and 50 sma
Short Term Expectation based on the close is consolidation or higher
Bulls want to see us follow through higher and set up a higher low at the moving averages
Bears want to see us reverse lower and test today’s low
IWM – Upside reversal at the 200 sma. Still in a downtrend currently
Bulls want to see us follow through up and get above the 21ema
Bears want to see us follow through lower breaking the 200 day
IBIT- Strong close after a gap below the 50day
Bulls want to see us push higher from here
Bears want to see us follow through lower breaking the 50 and todays low
Trends (1/4 Up) – Based on the QQQ
Shortest – 10 Day EMA – Down Below Declining
Short-term – 21 ema – Down Below Declining
Intermediate term – 50 sma – Down Below Declining
Longterm – 200 sma – Up – Above Rising
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Groups/Sectors
Performance Today from open on the Left, Performance over the past 20 days on the right.
Performance Charts from Deepvue
Deepvue Leaders Heatmap
S&P 500
Group Ranks: 1 Day, 1 Week, 1 Month, 3 Month from left to right. This is now a preset for Deepvue Members
Leaders and Key Moves
NVDA Good action off the lows but still well below the MAs, could envision a snap back and then chop
TSLA strong close in this range, watching for a pop through the 21ema and prior ATH.
RDDT Gap down but when a strong close after undercutting yesterday’s low. Watching for follow through above the short flag here
GEV yet another upside reversal type day above the base pivot, watching for follow through. Double inside
VST inside day at this pivot, watching for follow through
ALAB below the 21ema but good close
MSTR strong oops reversal, watching for follow through
Stocks Setting Up / Holding Up
HOOD upside reversal at the 21ema, watching for a push through today’s high
NVMI watching for follow through up and push from this higher low up the right side
MP swing trade idea watching for a push higher from pseudo double inside
GEV watching for follow through up to add
BROS watching for push through highs
GLBE watching for breakout through the 21ema
KD watching for push off the pivot and follow through up from oops reversal
AVGO watching for follow through up off 21ema
AGX watching for follow through up, strong stock
RBLX watching for follow through up
HUBS watching for push from the inside day
RBRK watching for continued push higher above the 21
SMTC good action, watching for follow through up
BE watching for push higher through this short flag back through the 21ema
Themes and Leaders
Key Themes: Software, AI, Semis. Crypto
These names have the top RS, growth stories
TSLA GEV RDDT ALAB VST
Market Thoughts & Focus
After a negative morning a strong close in most of the key leaders. What will be key is if we get follow through. Still choppy with all these gap downs but names starting to standout. Today’s low is now the key level to trade against for many names.
Daily Focus is will be GEV TSLA SMTC RDDT
Anything can happen, Day by Day – Managing risk along the way