A mostly sideways consolidation day for NQ on Friday until late afternoon when aggressive selling came into the market, tanking NQ down to 4140 support.
On a larger daily time frame, NQ is currently stuck between 4080 support and 4280 resistance, a 200-point trading range, a sustained break out of the 4180 - 4280 trading range is likely to trigger a fast trending move out of the range, in the direction of the break.
Key price level to watch for on Monday remains at 4160, first resistance is 4200 and first support is 4140.
-- NQ is bullish above 4160 but strong resistance remains at 4200. A clear and sustained break above 4200 is likely to trigger algo buy programs targeting next resistance at 4250, then 4280.
-- NQ is bearish below 4160 with first support at 4140, then 4120, 4100 and then 4080. A clear break below 4080 could quickly tank NQ down to 4000.
The price of crude oil will remain key to the direction of the stock market. We saw very large buy programs hit the oil market on Friday, pushing oil price up over $4 for the day as trailing stop-loss got hit.
