A huge rally for NQ on Monday as the Fed buying algorithm continues to target a few major NQ stocks such as Netflix, Microsoft, Apple just to keep the sentiment on the bullish side. But the breath of the current rally is getting really bad and very vulnerable to sudden heavy selling.
However, only a very modest rally for the Dow and the S&P 500 as they remains below their respective key resistance at their 50-day moving average on the daily chart.
Until the Dow and the S&P 500 can break back above their 50-DMA, it will remains very vulnerable to heavy selling.
On the short term time frame, NQ key price level for trading on Tuesday will be 6860.
-- If NQ can stay above 6860 the rally should continue as sellers should remains under control.
-- Trading back below 6860 could attract heavy selling but support is at 6785.
