Gap Down, Close at Highs. Short Term Low?
Richard Moglen
Stock Trader & Student of the Markets. I help traders improve their systems & performance at TraderLion & Deepvue
September 2, 2025
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Market Action
QQQ – Today we followed through down after friday’s negative expectation breaker with a gap down to the 50sma. However we rallied off the open and closed strongly near highs through still below the 21ema.
Bulls want to see follow through higher or a tight sideways range
Bears want to see more follow through lower testing the 50 sma
Daily Chart of the QQQ.
IWM – gap down with strong close
IBIT – Positive expectation breaker but still below the MAs and key level
Trends (2/4 Up) – Based on the QQQ
Shortest – 10 Day EMA – Below
Short-term – 21 ema – Below
Intermediate term – 50 sma – Above Rising
Longterm – 200 sma – Up – Above Rising
Groups/Sectors
Deepvue Theme Tracker
Deepvue Leaders
S&P 500.
Leadership
TSLA gap below the 21ema. That and todays high are key levels to the upside. overall tight day
AAPL good close after the gap down and initial move lower
PLTR Oops reversal today and testing the top of the recent range near the 50sma
NVDA upside reversal at the 50 sma and subtle undercut of the recent swing low
META strong upside reversal closing near the 50 sma.
HOOD Upside reversals near the 50sma
RDDT Upside reversal off the 21ema. watching for a range breakout
ALAB Also an upside reversal off the 21ema. Watching for follow through.
MSFT Slight oops reversal
Key Moves
IONS biotech strong gap up on volume
TEM strong move, continues to show RS
Setups and Watchlist
PSTG watching for follow through up
SNOW watching for post gap u turn. tight on the 65 min
AORT watching for a range breakout
HNGE watching for follow through up
ANET watching for a range breakout
Today’s Watchlist in List form
Focus List Names
PSTG SNOW AORT HNGE ANET RDDT ALAB HOOD
Focus:
RDDT ALAB HOOD SNOW
Themes
Strongest Themes: Software, Crypto, Nuclear Power, Semis, Miners, Cruise Liners
Market Thoughts & Focus
Potential short term low in place. watching for follow through up
Anything can happen, Day by Day – Managing risk along the way