On Monday, ahead of the upcoming bear market, market insiders continued to dump technology growth stock in Nasdaq and buying large cap Dow and S&P 500 stocks. As such, NQ continued to struggle while the Dow and the S&P 500 continues to make record high, a classic topping pattern.
This type of price action should continue a while longer as insiders continue to swap their small cap growth stocks for large cap stocks, simply because small cap growth stocks will decline more than large cap stocks during a bear market.
For Tuesday, a short term intraday key inflection price level for NQ remains at 5990.
-- First support is at 5970.
-- First resistance is at 6020
NQ remains inside a choppy trading zone.
