A very large down day for the market on Monday particularly for NQ as it dropped down to support in the morning, but then rallied back up to resistance, closing right in the middle of the day range.
Unless NQ can break and stay below Monday's swing low, Tuesday could be a choppy sideways or a rally day. A clear break below Monday's swing low could attract more momentum sell algos, causing another large down day.
Key price level for NQ on Tuesday is 3620 resistance, and for ES it will be 1856 resistance.
-- If NQ cannot clearly break above 3620 it could attract selling, first support is 3595, then if that breaks, next support is Monday's low. A break above 3620 should continue to ingite short-covering rally with strong resistance at 3650 and 3660
-- For ES, failure to clearly break above 1856 will attract selling, support is at 1847, then Mondayls swing low. A break abobe 1856 could trigger more short-covering rally.
