Cautious Outlook: Rangebound, Awaiting Breakout

• Price action last week (Feb 20–24) shows recovery from lows but remains choppy; February range is the narrowest in over 40 years.
• VIX declined from 21.01 (Feb 23) to 19.55 (Feb 24), signaling waning volatility despite sector rotation (tech/comm services leading).
• Journal notes growing optimism post–Supreme Court tariff ruling, yet market breadth remains muted (~3/2 bullish) despite broad sector gains on Feb 24.
• Key support at ~593—if breached, short-term bullish case weakens significantly.

QQQ trades in a tight range near multi-day highs but faces resistance from rising EMAs (5/9/20/50 all above price), suggesting consolidation ahead of a directional move. Closing above 610—especially above 615 and 625—is critical to confirm bullish momentum; failure to break above may extend the sideways pattern.

SOURCE: AI

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