Heavy selling pressure hit the market right from the opening bell on Monday. The sell-off continued all day on Monday with NQ closing near the low of the day. Monday was the second large down day in a row. If the current decline pattern follows the prior decline leg in August, look for NQ to have a third large range down day on Tuesday.
With NQ low of the day at strong support zone between 4050 - 4100, a bounce is possible on Tuesday. If so look for a sideways consolidation day.
However, staying below 4100 price level has the potential to attract algo sell programs that can tank NQ down to re-test August low at 3900.
As we can see from the Brazilian ETF chart below, Brazil stock market has been selling-off since September 2014
