Another down day in the equity market on Friday, and it was the second down day in a row. With the Fed not willing to let the market sold off for the third day in a row, they will most likely engineered buy programs on Monday. How successful will they be against continuing deflationary pressure, only time will tell.
The Fed has also called for emergency meeting of the Fed governors on Monday likely to discuss strategies to negate the negative impact of upcoming GDP reports that would be way lower than estimates.
The daily timeframe is still in a solid uptrend with NQ still trading above several solid supports. It would take a major sell-off to change the bullish technical picture.
On the short term 5-minute timeframe, key inflection price level for NQ on Monday will be 4470.
-- NQ trading above 4470 is an indication that it is likely on its way to resume its uptrend, next resistance is 4500.
-- Staying below 4470 is bearish and likely to get sold, but strong support is at 4440. It would need a very bearish market mood to clearly violate 4440 support.
