On Monday, the market opened with a large gap-down but was quickly being bought, very large algorithm buy programs most likely engineered by the Fed quickly pushed the market back up into bullish territory.
The bullsih momentum going into the close should continue on Tuesday, next upside target is a higher high above Monday's swing high, that is, as long as it can stay above key price inflection level.
For Tuesday key inflection price level is still at 3585 for NQ and 1876 for ES
-- As long as NQ and ES can stay above inflection price level the market is going up to higher high. Next resistance for NQ is 3600, then 3620.
-- Trading below inflection price level is an indication the market is going into a pullback mode, but will remain in a bullish mode as long as Monday's swing low is not violated.
-- Breaking below Monday swing low could trigger massive algorithm sell programs, next support is 3500 for NQ.
The conflict in the Ukraine is quickly getting out of control and gold is benefiting from the dangerous situation. If the situation in Ukraine continue to deteriorate gold should continue to rally.
