Guideline For Wednesday - NQ

With the US thanksgiving holiday just a few days away the market may just continue to rally with or without any pullback.

Key support for Wednesday is 3435. 

-- As long as pullback does not clearly violate 3435 support, the uptrend should continue, with the next upside target at 3475.

Guideline For Tuesday - NQ

A very narrow range choppy day on Monday for NQ, a pause day after two days of non-stop uptrend. Whether it will lead to another uptrend day on Tuesday or a pullback down day, will depends on where NQ trades in relation to its key support/resistance level.

Key support/resistance price level for Tuesday is 3430.

-- Above 3430 is an indication NQ is going for another uptrending short-covering day, with the next upside target at 3450.

-- Below 3430 implies a pullback down day, with support at 3415 and 3400.

Guideline For Monday

As expected, Friday was a bullish day, with NQ opening with a gap-up and then trend up all day, closing neat the high of the day.

With expectation of increasing QE sooner rather than later, the market should continue to be very bullish moving forward.

Whether or not we would get morning pullback before rocketing back up, only time will tell and it will depends on where NQ trades in relation to its inflection price level.

For Monday, inflection price level is 3415 area.

-- Trading above 3415 implies NQ is trending up to its next target levels, 3425, then 3450.

-- Below 3415 is an indication that NQ is going into a pullback consolidation mode before resuming the next uptrend. Support on any pullback is 3400. 

We must not get fooled by the Fed Taper talk shenanigan. Fed's taper talk is intended to delay the inevitable collapse of the US dollar. 

With more and more countries abandoning/dumping the US dollar/bond, the Fed as the only buyer in town, has to step in a buy them back. Bigger and bigger QE is on the way until the US dollar collapses, because tapering QE or simply not increasing QE will results in the following nightmare scenarios no one wants to see happens. 

1. Skyrocketing interest rates

2. Collapsing stock market

3. Collapsing real estate market.

4. Skyrocketing debt service payments.

5. Massive US dollar appreciation that will destroy the US economy.

6. Deflationary depression

Perpetual and ever increasing QE is extreme bullish for the stock market. Just look at the Zimbabwe's recent experience.

Guideline For Friday

A gap-up and trend up day for NQ on Thursday, the high bumping against resistance, and the closing price was just below the day high - bullish momentum going into the close.

Keep in mind that Friday is usually a bullish day, and as long as NQ does not clearly break below key support, it should continue to rally up to the next resistance -- a gap-up open or an early morning pullback to support and then rally into the close.

Inflection Price Level For NQ on Friday = 3395, key support = 3385.

-- Above 3395 is an indication NQ will try to rally up to the next resistance, if it can break above 3405 or gap-up open above 3405. Next resistance and target is 3420. It would need a very bullish market internals to break above 3420.

-- Breaking below 3395 is in indication that NQ is going to consolidate prior to rallying up to the next resistance 33420, assuming that it can break through resistance at 3405.

Janet Yellin - the extreme money printer - as the next Fed Chairperson

Guideline for Thursday - NQ

At 2:00 PM the Fed's minutes were released and indicated that the Fed would start to taper at one of its next few meetings even if the job market hasn't improved enough. many investors decided to take profit - caused the market to tanked into the close.

Whether or not profit-taking would continue tomorrow, only time will tall, but as short-term traders, we should be looking at price actions and price levels.

For Thursday, key price level will be 3370.

-- Trading clearly above 3370 is an indication that NQ may be going into a pullback - rally mode, with resistance at 3382.50 area, then 3400.

-- NQ is vulnerable to more selling pressure below 3370. Next support down is 3345. If the market gets very bearish, next support down is 3320.

Trade Guideline For Wednesday - NQ

Tuesday was a second pullback down day for the US indices, as can be seen on the daily chart. If the current uptrend on the daily chart is still alive, the market should rally on Wednesday.

Key price level for NQ on Wednesday is 3375.
--, NQ is bullish above 3375, with first resistance at 3400. A clear and sustained break above 3400 could trigger a fast short-covering rally.
-- NQ is bearish below 3375, next support is 3365, and then 3345, 3335.

Guideline For Tuesday - NQ

After making a higher-high soon after the open on Monday, NQ then pullback down to support 3405 area. NQ then traded sideways until late afternoon before breaking down below support.

Breaking below support trigger some algo selling running over trailing stoploss causing NQ to tank hard. For Tuesday NQ is either going to make a lower-low right away in the morning, or, rally then tank to lower low. 

Key price level for Tuesday morning is 3387.50.

-- NQ to rally up to resistance 3400 - 3405.

-- Below 3387.50 implies NQ is going to make a lower low before pulling back up . Next support  is 3365.

Guideline For Monday - NQ

NQ made another higher-high on Monday. The markets, Nasdaq, S&P, Dow, are now entering a blow-off phase of the uptrend, once completed should lead to a sharp collapse. 

Where and from what level it will collapse is very difficult to forecast as trend can go on much longer most people think.

But for now, as long as the market does not violates key technical support, the uptrend should continue. The short-term support for the current uptrend in NQ is 3400 with the next upside target at 3450.

Inflection price level for Monday is 3415.

-- Above 3415 the next target up is 3450.

-- NQ is going into consolidation mode below 3415, support is 3400-3405.

The bulls are currently in charge

Guideline For Trading NQ on Friday

As expected, with Janet Yellin appearing before the  senate, and with the Fed buy programs,  NQ continued to rally and made another higher high on Thursday. 

Friday is usually a bullish day but it is possible that the market consolidates in the morning. And as long as consolidation does not clearly violate key support, it should rally back up to make another higher high.

Key support for Friday is 3390

Guideline For NQ on Thursday

The market rocketed up on Wednesday ahead of Janet Yellin's appearance before the senate on Thursday, most certainly the courtesy of gigantic Fed's buying programs.

For Thursday, with Yellin in front of the senate, it is very hard to think that the Fed will not continue to buy the market in order to make things looks rosy.

Key support for the current uptrend to continue on Thursday is 3380.

-- Above 3380 NQ should continue to rally.

-- In the unlikely event that NQ clearly break below 3380, other supports below are 3365, 3350.

Guideline For Wednesday - NQ

Another narrow-range sideways pattern for NQ on Tuesday. For Wednesday support is still at 3350 and resistance at 3365.

Trading range = 3350-3365

-- A sustained break out of the range could cause a trending move in the direction of the break.

-- As always, be on the lookout for a false-breakout of the range. Note that a false-breakout will result in a reversal to test the opposite range support/resistance.

Guideline for Tuesday - NQ

With most traders out of the office for the holiday Monday, trading was light, with a very narrow trading range. 

With most traders back at their trading desk on Tuesday, the market could make a trending move, the direction will depends on where it traders in relation to support/resistance price level.

Resistance = 3365, Support - 3350.

-- Potential short-covering above 3365, resistances are 3380, 3395.

-- Bearish below 3350, with supports at 3335, 3315.

Guideline For Friday

Friday is usually a bullish day as short-sellers covers their position for the weekend. For this weekend, with a very large and broad sell-off on Thursday, it is difficult to say whether or not traders will be inclined to cover their short ahead of the weekend.

Key price level to watch on Friday in NQ is 3335.

-- A clear and sustained break above 3335 could trigger short-covering rally, with resistance at 3360.

-- Inability to clearly break above 3335 could attract more selling pressure, with the next support at 2290-2300, but if the market internals get very bearish, the next support - strong support - is 2250. 

Thursday's Guideline For NQ

On Wednesday, after opening with a large gap-up then immediately tanking down to support in the morning, NQ traded sideways all day closing right at key support, 3375, also key level for Thursday's trading.

NQ looks set for the next declining leg on Thursday. If so, it should open and stay below 3375 on Thursday morning. Supports are 3360 and then 3350, 3340.

--Trading above 3375 is an indication NQ is going to rally up to test the recent high, resistance zone is still at 3390-3395. 

Guideline For Wednesday - NQ

NQ has been stuck between 3355-3360 support and 3390-3395 resistance for the last two weeks. The market is fairly overbought at the current level on the daily chart, so there is not many buyers left to buy that can cause the market to rocket back up in a trending mode unless short-sellers are forced to cover, without which, NQ may continue to stay inside the range. 

It would require a clear and sustained break out of the range, above 3395 and below 3355, to cause a trending move in the direction of the break.

Inflection price level for Wednesday is 3375, with resistance at 3390-3395, and support at 3355-3360. 

Guideline For Tuesday - NQ

On Monday, NQ opened with a gap-up inside prior day range. It quickly tanked to closed the gap that was then followed by a bounce back up to re-test broken support-turned resistance 3380.

As expected, with a balanced opening, NQ stayed inside prior day range all day, closing just above key inflection price level, 3375 for Tuesday, with resistance at 3380 and support at 3360, trading range 3360 - 3380.

A clear break out of the range could cause NQ to go to the next support/resistance level.

Next resistance above 3380 = 3390

Next support below 3360 = 3350.

Guideline For Monday

For NQ, Key Inflection Price Level For Monday is 3370

-- Resistance at 3380

-- Support at 3360

NQ looks set to go down, but in order to do so it would need to clearly break below support 3360 and 3350 to attract more selling.

On the other hand, a clear break above 3380 could trigger a short-covering rally.