Massive buy programs triggered after the FOMC policy announcement failed to produce a massive rally, as the market pullback down into the close.
Buy programs resumed during after hours globex trading, with NQ back up to Wednesday's high, the goal is to keep the stock market rally intact. However, with the market breath indicating the current stock market rally unsustainable it would not be long before market forces overwhelm the market buyer led by the Fed.
For now, the daily chart is still in a bullish buy mode, but it is quickly approaching strong resistance, and the 60-minute chart is approaching very overbought condition, an indication the market is now at risk of a large decline.
On the 5-minute chart, key price level for NQ on Tuesday will be 4365-4370 - now support.
-- If NQ can stay above 4365-4370 support, short-covering should continue, with resistances at 4400, 4450, 4475.
-- Trading below 4365 is bearish and likely to trigger algo sell programs, with the next support at 4330 then 4310
Market Breath Indicator
