The equity market continued to collapse along with the crude oil price collapse on Monday. Finally, with the markets deep in oversold territory, the panic Fed were finally able to push the market up at the end of the day on Monday.
Whether or not they are able to hold the equity market up on Tuesday will depends on the price of crude oil, and for NQ, where it would trade in relation to its key price level.
For NQ key price level for Tuesday will be around 4300.
-- Trading above 4300 will relieve some selling pressure and may cause more short-covering rally, with the next resistance at 4350.
-- Trading below 4300 is bearish and implies a re-test of Monday low. But NQ would need to break below 4200 to trigger another round of margin selling, the next potential support is still at 2100.
