A sideways wide-range consolidation day for NQ on Wednesday, rallied in the morning then dropped down to 4100 support before rallying back up - and closed near the day high just below key resistance. The stock market rally was definitely helped by a large rally in the crude oil market.
Key price level for NQ on Thursday will be 4160 area. Crude oil price will continue to be key driver of equity market price direction.
-- NQ needs to clearly break above 4160 to trigger another round of short-covering. Whether or not the Fed will engineer buy programs overnight tonight to cause a huge gap-up open in the morning on Thursday, only time will tell, and we shall see just before the open, resistances above 4160 are 4180, 4200, 4220..
-- Bearish below 4160. If accompanied by collapsing crude oil price, could lead to a break down below 4100 and 4080 supports.
