Ahead of the Fed meeting this week the major stock market indices in the US traded down, with NQ selling down quite hard, the forces of deflation overwhelmed the Fed buy programs.
As seen on the daily chart, last week rally in the equity market looks choppy and countertrend, especially for the Dow and nasdaq, the pattern is setting up for a liquidation decline.
On the short term intraday timeframe, key inflection price level for NQ on Tuesday will be 4800.
-- Trading above 4800 is likely to keep selling in check.
-- Trading below 4800 is likely to attract selling but buy programs will be active to keep the market elevated.
