As expected, with NQ trading below key price level, contagion from failed European banks triggered intense selling on Tuesday and NQ tanked hard.
Come Wednesday, without trading back above key price level, selling pressure will get more intense because everyone is long the market, and forced to sell as the market continue to decline, there is no buyers except central banks, and for now they don't seems to be able to stop the decline.
With everyone long the stock market, the lower the market goes the more intense selling will become, a potential flash crash scenario.
Key price level for NQ on Wednesday will be 5700.
-- Failure to break back above 5700 is going to trigger another round of selling, potential supports are 5643 then 5580. Strong supports is not until 5450.
-- Breaking back above 5700 should relieve selling pressure. Resistance are 5775, then 5795
