Thursday, October 2, 2014

Guideline For Friday

On Thursday a strong sell-off in the morning was followed by a strong rally in the afternoon as buyers pushed NQ into higher high above morning high before pulling back down into the close. 

For Friday, as long as pullback down move that started late day on Thursday does not continue down in the morning on Friday and violate key support, NQ should continue to  rally. However, in order for the rally to gain momentum, it has to clearly break above 4090-4095 key resistance and trigger momentum algo buy programs.

-- A break above 4095 should propel the rally leg up to 4025 resistance.
-- Breaking back below 3965 could re-test Thursday's swing low.