NQ sold off most of the day on Tuesday until the very end of the day when the usual end of day profit-taking rally pushed NQ up from its day low.
With NQ tanking in overnight trading after a disappointing AAPL earning reports, unless the Fed would come in aggressively with their buy programs throughout the night and into the regular trading hours on Wednesday, we could see massive selloff in NQ on Wednesday as so many funds are currently long AAPL stock. With many unable to top up their margin call as the market opens on Wednesday look for the market to selloff. So far tonight Apple share is down over $8 and has wiped out over $40 billion in Market Cap.
Key inflection price level for NQ going into Tuesday trading will be 4430.
-- Bearish below 4430, next key support is 4400.
-- If NQ can rally back above 4430 by the time the market opens on Wednesday the selloff should be under control.
Economy In Decline: Apple Reports Massive Revenue Decline As iPhone Sales Plummet Dramatically
Corporate revenues in the United States have been falling for quite some time, but now some of the biggest companies in the entire nation are reporting extremely disappointing results. On Tuesday, Apple shocked the financial world by reporting that revenue for the first quarter had fallen 7.4 billion dollars compared to the same quarter last year. That is an astounding plunge, and it represents the very first year-over-year quarterly sales decline that Apple has experienced since 2003. Analysts were anticipating some sort of drop, but nothing like this. And of course last week we learned that Google and Microsoft also missed revenue and earnings projections for the first quarter of 2016. The economic crisis that began during the second half of 2015 is really starting to take hold, and even our largest tech companies are now feeling the pain.
