I bought QID at 53.77 near the close when both SP futures M/A and DJI critical M/A were both hit almost simultaneously. I had earlier attempted to buy QID but was stopped out.
The stock market declined sharply overnight due to a collapse in commodity prices brought about by an attempt by the Keynsian authorities to get the U.S. economy going by releasing 30 million barrels of crude from the Strategic Petroleum Reserve. Other nations were brought into in under the umbrella of the IEA. The stock market found bottom at the SPX 200-day M/A and rallied for the rest of the day. Although the decline broke the envelope of the DJI critical M/A it was within the context of a trading range extending over the past 2 weeks and thus the significance of this event was reduced as trading ranges produce moving averages of length less than the trading range to flatten and lose their predictive capability. Since the DJI critical M/A only spans 5 trading days it's input is sharply reduced when weighing factors. The same rationale applies to the SP futures 30-minute M/A. Even though these M/As continue to function, their power is reduced within long trading ranges.
A continuation of the rally will also allow gold and silver to recover from the oil shock.