A strong sell-off day for NQ on Monday following China's stock market crash on Sunday night. With the FOMC meeting on Tuesday and Wednesday the Fed is certain to aggressively buy the market. Whether or not they will succeed only time will tell.
Key price level to watch for on Tuesday will be 4555 resistance and 4500 support.
-- Bullish above 4555, on a clear and sustained break above it, shorts may start to cover, propelling short-covering rally.
-- NQ would remain in a bearish mode below 4555, but it would need to break below 4500 to trigger another round of liquidation decline, next support will be 4440, then 4400 and 4340.
-- Staying inside the 4500 - 4555 range could result in a choppy sideways trading pattern.
