The market reversed soon after the open on Friday but then consolidated into the close. It was a red candle on the daily chart, an indication that the market may be going into a 2 to 3 days (or more) pullback-down mode. The pullback should continue on Monday as long as Friday's swing high is not violated.
Of course the proxy war between the US and Russia in Ukraine is going to be the main driver for the market going forward. The Fed buy programs is going to continue to support the market but as the conflict intensifies the market is going to be volatile and it will be bearish for the market.
So we have the Fed buy programs on one side and the conflict-induced selling on the other side, making for a volatile and unpredictable market conditions.
Key price level for NQ on Monday is 3685, and for ES is 1870.
-- Above 3685 NQ is either going to trade sideways or rally up, resistances are 3710, 3725, ES resistances are 1880
-- Below 3685 is an indication that NQ is going down, supports are 3670 the 3640. For ES supports are 1870 and 1866, a break below 1800 could cause strong selling, next support is 1848-18751.
