Market at Support, but Stay Defensive

The QQQQ closed where it needed to on Friday and with a high volume spinning top reversal signal. 40.50 is the key price to watch and if selling pressure, which looked to have let up on Friday continues next week the going is going to get awfully tough. Due to the fact that scans do not confirm the strong reversal signal on this index we are not willing to buy agressively here. At this time the market is between a rock and a hard place. It is too late to short as a near term bounce is almost a given. At the same time, until we see money come off the sidelines going long is likely going to lead to more frustration similar to that experienced over the last week.