On Tuesday, after trading sideways soon after the open, NQ broke down below 4145 support, and triggered massive algo sell programs that tanked NQ all the way down to double-bottom support (mid-December 2014 low of 4083) before bounding back up to re-test 4145 broken support now resistance.
After testing resistance, NQ promptly dropped back down to re-test the day low. Whether or not the double-bottom will hold on Wednesday only time will tell, but it would depends very much on how crude oil trades on Wednesday. A continual sell-off in crude oil is bearish for the market, and could lead to another sell-off day, while a pause in crude oil decline could lead to a pause in the equity sell-off.
Key price level for NQ on Wednesday will be 4083 double-bottom zone.
-- More selling below 4093 area, supports are 4050 and 4000.
-- A sideways consolidation above 4083, resistance is 4145, 4165.
