Sunday, January 6, 2013

NQ Trade Guideline For Monday

Nasdaq completed a 5-wave rally on Thursday afternoon, then started ABC consolidation which continued into Friday. Once completed, the next leg up should resume.

Key NQLevel for Monday is 2730.
-- Above 2730 implies pullback has ended and the next leg up is in progress, targeting 2770. 
-- Below 2730 implies pullback/consolidation is still in progress, with support at 2700 then 2690. A clear and sustained break below 2690 implies it is going to close the gap 2660.