On Thursday NQ again opened below its key 50-period moving average on the 5-minute chart, which triggered selling, dropping down to strong support at 7500-7505 price zone.
Massive algo buying programs helped bounced NQ quickly back up to where sellers came back to sell, tanking NQ back down breaking supports, triggering massive selling. NQ did not reached its usual downside target of the next key support, the 50-dma on the daily chart which now sits at 7388.
Unless NQ can break back above its 20-dma on the daily chart, NQ will remains under heavy selling pressure, as the next downside target remains at 50-dma.
Key price level for NQ going into Friday trading is 7500, now acting as key resistance.
-- With Friday tendency towards choppiness, NQ may remain inside Thursday trading range.
-- However, a break below Thursday low will cascade NQ quickly down to its 50-dma on the daily chart, 7388.
