NQ rally from September 11 low to September 14 high was choppy and in a-b-c wave pattern with the September 14 high retracing .618 of the drop from August 30 swing high to September 11 swing low, a perfect Fibonacci retracement for a choppy a-b-c wave countertrend rally.
On Monday NQ dropped below previous wave-a swing high which occurred on September 11, confirming the retracement up was wave a-b-c rally has been completed.
NQ low on Monday sat at a very critical price level, the 50-day moving average on the daily chart, 50-dma has provided support for the last four pullbacks down to it. It has always cause a sharp rally off it.
Thus a break below it will cause a very sharp decline as all the daily algos will have an exit-n-reverse trade triggers. If so, the next downside target is 7050-7100. and it will get there very fast.
Key support on Tuesday will be 7470 on NQ December contract, high probability stock market crash below unless the PPT is prepared to support the market.
