On Wednesday, NQ finally had a pullback down day, ending a 4-day rally from October 16 swing low. The rally from last week Thursday low into Wednesday swing high had a 5-wave structure on the 60-minute chart.
Whether or not NQ will get more than a 5-wave structure (rally), only time will tell, but to do so, NQ would need to stay above 3930 support in order to avoid overbalancing, and should rally into higher high very soon. Failure to make a higher high could indicate that a larger pullback-down is in progress, implies another wave down is likely.
Key inflection price level for NQ on Thursday is 3960.
-- Above 3960 is an indication that the current uptrend is resuming.
-- Below 3960 implies another down-leg is likely, next support is 3930.
-- Breaking below 3930 is liley to trigger algo sell programs, target down is 3895-3900
