Ahead of the FOMC meeting this week NQ traded sideways in a very narrow range. With buy programs certain to go into full force look for the stock market to continue to go higher regardless of what the Fed decides to do and announces on Wednesday.
Key inflection price level for NQ on Tuesday will be 4865. First resistance is 4880 and first support is 4840.
-- If NQ can clearly break above 4880 it has the potential to trend up, with the next upside target of a break above Friday swing high.
-- Staying below 4865 implies continual sideways consolidation pattern.
Mortgage rates has risen very sharply, very bearish for the economy and the stock market. On Friday, the average lender hiked the 30-year fixed rate conventional mortgage for top tier borrowers to 4.25%. According to Freddie Mac, the average 30-year fixed-rate mortgage rate rose 5 basis points to 4.13% during the December 8 reporting week, the highest since July 2014:
