Sunday, January 22, 2012

Trade Guideline For Monday (Nasdaq NQ)

Friday was a narrow-range (ranging) day typical of options expiration day.

For Monday key inflection level is 2430, support 2425, resistance 2435.
  • Above 2435 implies the next leg up is in progress, targeting 2450-2460.
  • Below 2425 implies it is still in consolidation mode, targeting a decline down to 2410-2415, then if that does not hold, next target down is 2400 - a strong support zone. The market needs to be very bearish to crash down through 2400.