The stock market was closed for Martin Luther King holiday on Monday, but last week Friday was a huge sell-off day, the stock market remains in crash mode, with NQ breaking down below my 4100 support zone before rallying back above it in the afternoon.
The momentum of the current decline on the daily chart has not slowed down a bit, an indication there is more room to the downside before a significant counter-trend rally can be expected. In order to get a short-term bottom in the stock market the price of crude oil needs to stabilize and it is currently still in crash mode as well.
Key price level for NQ on Tuesday will be 4100.
-- Trading above 4100 should relieve some selling pressure.
-- Trading back below 4100 could attract more selling, the next potential support is double-bottom support at September 2015 swing low around 4040
