NQ Guideline For Friday

As expected, following a large rally on Wednesday, Thursday was a sideways consolidation type of day, with some selling in the morning followed by a slow rally.

 

With Friday tending to be choppy, we could see another sideways choppy day on Friday.

 

Key inflection price level for NQ on Friday will be 6900.

-- Trading above 6900 should keep selling under control, next upside target is a break above Thursday swing high.

-- Breaking below 6900 is going to trigger some selling. If so the first support is at 6840. 

NQ Guideline For Thursday

NQ opened above prior day high on Wednesday, set to breakout, but has to trade sideways for a while until the Fed triggered massive buy programs for the Fed Chairman speeches, just to make him looks good. Buy programs rocketed NQ upward to resistance and then close at the day high.

 

On Thursday, following a huge up-trending day on Wednesday NQ is likely to trade sideways, but, although not likely, if the Fed would continue their buy programs on Thursday we could also get another up-trending day.

 

Key inflection price level for NQ on Thursday will be 6860

-- A break below 6860 implies NQ is going lower, next support is 6820
-- Staying above 6860 implies NQ is going higher, next resistance is 7000

NQ Guideline For Wednesday

On Tuesday NQ rallied but in a choppy manner, with a bullish close, perhaps ready to breakout above strong resistance and rocket up.

 

Key intraday price level for NQ on Wednesday will be 6700.

-- If NQ can stay above 6700 at the open on Wednesday it is likely to breakout to the upside and trend up, with the next resistance at 6850.

-- Breaking back below 6700 is going to be bearish, with lower support at 6600, then 6450-6400

NQ Guideline For Tuesday

NQ traded sideways on Monday between 6600 support and 6700 resistance, a consolidation type of day, a setup for a breakout trending day.The direction of the trend will depends on the direction of the break.

 

Key price level for NQ on Tuesday is 6600 support and 6700 resistance (6600-6700 trading range).

-- A sustained break above 6700 is likely to trigger some short-covering,. If so the next resistance is at 6850.

-- A false-break above 6700 is going to attract heavy selling, downside target is 6500. However, there are several layers of supports that needs to be broken on the way down, first support is 6600, and if that breaks then second support is 6540 then 6500.

-- A sustained break below 6600 is going to trigger trending move down. NQ is trading down after hours due to Apple Computer shares (AAPL) tanking in overnight trading. If the open on Tuesday is below 6600, it is going to trigger a liquidation decline, with downside target at 6400 - 6260. 

NQ Guideline For Monday

With the market closed on Thursday followed by a short trading session on Friday our key resistance for NQ on Monday will remains at 6640, and inflection price level at 6600

 

On the daily chart, NQ still looks set for a liquidation drop, which could happen on Monday.

-- Trading above 6600 should keep sellers under control. Seller would come back at 6640 but a clear break above 6640 resistance could trigger some short-covering rally with the next resistance at 6700.

-- Trading below 6600 is bearish but NQ would need to trade below Tuesday swing low 6445 to run over stop-losses and tank the market, next support is 6260

NQ Guideline For Monday

On Wednesday, the day before thanksgiving, the market traded sideways in a choppy narrow trading range.

The market will reopen for trading on Friday but with most traders still out of the office we could have another narrow range choppy day just like Wednesday. However, with think trading, there is always the possibility the market movement could get exaggerated.

 

Key price level for NQ on Friday will be 6545.

-- NQ is bearish below 6545, with potential downside supports at double-bottoms, 6400 and then 6250 

-- Trading above 6545 should keep selling under control, implies a choppy sideways consolidation type of day or a rally if shorts decides to cover ahead of the weekend.

NQ Guideline For Wednesday

On Tuesday NQ opened with a huge gap-down below prior day low. After the initial brief rally NQ sold off hard to a lower low before profit-taking and PPT intervention managed to rally NQ higher.

 

Sellers came back in the afternoon. NQ trend down in the afternoon, with a close in the middle of its trading range, setting up a rally on Wednesday or another liquidation day, depending on where it trades at the open.

 

Key inflection price level for NQ on Wednesday will be 6550

-- NQ may rally or trade sideways above 6550, next resistance is at 6640

-- NQ is bearish below 6550, could go into free-fall, but potential supports are at 6400 then 5260

NQ Guideline For Tuesday

Going into Monday trading session, NQ looks like it wanted to rally, but NQ is still very bearish on the daily chart, still trading below all the major moving averages, the 20-dma, the 50-dma and the 200-dma. All major algorithms are still in sell mode.

 

On Monday NQ opened with a huge gap-down, inside prior day range but very quickly dropped below prior day low, triggering all algos sell programs, tanking NQ down , triggering a large down trend without any reversal, with NQ closing very near the day low, setting up another large trend-down day if NQ breaks below Monday low and trend lower, or consolidate, with or without making a lower low below Monday swing low.

 

Key inflection price level to watch for on Tuesday will be the 50-period moving average on the 5-minute chart, at 6672

-- Trading above 6672 is an indication NQ may be going into sideways consolidation pattern, with resistance at 6800.

-- Trading below 6672 is going to attract selling. A sustained break below Monday low is going to tank the market, NQ downside supports are 6600, 6550 and 6400.

 

Without intervention by the PPT, the market could go into free-fall.

 

 

NQ Guideline For Monday

Friday was a sideways consolidation day following a large rally day on Thursday. A large up day which is then followed by a consolidation day is then normally followed by another large up day. As such we should see a large rally day on Monday. Failure to do so is bearish, and can attract sellers.

 

Key price zone for Monday will be Friday's trading range, 6808-6915

-- Trading inside the range implies another choppy sideways consolidation day.

-- Trading above the range is bullish, an indication the market is going to trend up. The next resistance is 6950, a strong resistance, the 20-dma on the daily chart. A break above should trigger a fast short-covering rally , next resistance is 7100.

-- Trading below Friday low is going to attract selling that could quickly tank the market.

 

-- Opening outside Friday trading range implies NQ is in a breakout mode, a trending move in the direction of the breakout.

NQ Guideline For Friday

On Thursday massive intervention by the PPT prevented a market meltdown. The rally was huge, and it has broken above key 200-period moving average on the 5-minute chart.

 

The 200-ma is now at 6830 at Thursday closing, and will serve as our key line-in-the-sand on Friday

-- As long as NQ can stay above 6830 on Friday the rally should continue with the next upside resistance at 6965. 

-- Breaking back below 6830 is going to bring back sellers,  and could tank NQ back down.

 

NQ Guideline For Thursday

On Wednesday NQ opened with a large gap-up inside prior day range, indicating that the opening gap is very likely to get closed.

 

NQ gap-up into resistance failed to clearly break above resistance as selling algos triggered at key intraday resistance overwhelmed buying quickly tanking the market down to close the gap.

 

Gap-closed bounce failed to rally the market back up as continued selling overwhelmed the buyers, tanking NQ down to below prior day low where selling continued until the afternoon.Q

A quick afternoon rally failed again at key intraday resistance, NQ then tanked back to close just slightly above day low.

 

Key intraday resistance and will be line-in-the-sand for Thursday is now at 6850

-- Trading below 6850 implies the current downswing that started on the 8th of November, is still in progress, next target is lower low below Wednesday low

-- If NQ managed to break above 6850 on Thursday, short-covering could catapult NQ up to the next resistance at 6980

NQ Guideline For Wednesday

NQ continued to consolidate and traded sideways on Tuesday following large down days on Friday and Monday.

 

However, with the daily trend still down, NQ looks ready to resume its downtrend on Wednesday. and the key nuance to watch for on Wednesday will be the opening price.

 

Key price levels to watch on Wednesday will be 6820 support and 6910 resistance.

-- If NQ happens to open below 6820 and stays below 6820, look for a very large liquidation drop as stop-losses for those holding long position residing just below 6820 get run-over.

-- Opening inside Tuesday trading range is an indication NQ could go either way, as inflection price level is at 6865.

NQ Guideline For Tuesday

On Monday morning, NQ was trading below prior day low just before the opening bell, but managed to open just slightly above Friday low by the time the market opened for regular trading on Monday.

 

However, selling algos triggered at the open quickly overwhelmed buying and the market tanked hard, quickly dropping down to some support. Profit-taking and buying at support cause NQ to trade sideways for the rest of the day, created a trading range that should serve as key area of support and resistance for Tuesday.

 

On Tuesday key trading range to watch for breakout will be 6825 - 6910.

-- Trading above 6910 is likely to trigger buy programs that can quickly catapult NQ up to the next resistance zone at 6990.

-- Trading below 6820 is going to trigger another round of liquidation selling, next support is October low 6580. A break below that may cause a free-fall as stop losses now congregates below that 6580

NQ Guideline For Monday

On Friday, NQ opened below prior day low (below Thursday low) triggering a very high probability of a large range trending breakout day.

 

Because the breakout is to the downside the trend should be down. And so it was on Friday as NQ trend-down most of the day except for the end of day profit-taking rally as traders balance their books for the weekend.

 

Going into Monday trading session, key NQ price level to watch is 7035

-- Opening and trading above 7035 is going to attract some short term intraday buying. If so resistances are 7100 then 7130.

-- Opening and trading below 7035 is going to attract selling, but NQ needs to break below Friday low to trigger major selling programs to tank the market. 

 

With many traders taking Monday off for veterans day holiday weekend, there is a chance NQ could be a choppy day.

NQ Guideline For Friday

On Thursday, the day after a large up-trending day on Wednesday, NQ opened inside prior day range, then dropped below 7180 key support level, confirming that NQ is going into a sideways consolidation mode.

 

Consolidations is a set up for the next rally leg, and currently the next rally leg should be up. As such, we should expect NQ to rally towards the next resistance, 7350, on Friday. Failure to do so is going to attract selling next week.

 

Key price level for NQ on Friday will be 7180.

-- Trading above 7180 is going to attract buying and short-covering. If so, buying may be able to overwhelm selling.

-- Failure to break and stay above 7180 is an indication NQ is going to continue to consolidate or decline further, the next support is 7100.

NQ Guideline For Thursday

A large up day in the market on Wednesday with NQ opening with a gap-up above prior day high then rally up all day into the close.

 

Key support on Thursday will be 7180.

-- Trading above 7180 in the morning implies NQ will continue to rally without a pullback. Next resistance is 7350.

-- Trading back below 7180 in the morning on Thursday implies NQ is going into a consolidation mode to setup another trending up day, likely on Friday. Consolidation downside target will be 7125

NQ Guideline For Wednesday

Large buy programs triggered right at the open rocketed NQ upward about 100 points to the 20-ma daily resistance where sellers came back in and overwhelmed the buyers, subsequently sending NQ back down to the open. Buyers came back in the afternoon, NQ then rallied into the close.

 

Key price level for NQ on Wednesday the 20-ma daily at 7037 at the close, now acting as key resistance.

-- A clear break above 7037 is going to trigger short-covering and buy programs that can quickly catapult NQ up to the next resistance, 7100-7125 strong resistance zone. Should NQ then break through the 7100-7125 resistance zone, it will quickly rocket up to the next higher resistance 7200 then 7350.

-- Should NQ failed to break above 7037 resistance, selling could overwhelm buying and tank the market down.

 

Final midterm election results is likely to determine the opening price on Wednesday

NQ Guideline For Tuesday

Ahead of the midterm election on Tuesday, as expected NQ traded sideways on Monday, with the open inside prior day range, then dropping below prior day low then rallying back into Friday range, closing inside the range.

 

It is likely to again trade sideways on Tuesday, and then make a trending move on Wednesday after the election result is known.

 

Key price level to watch for will be 6985 resistance, 6810 support.

-- Opening outside the 6810-6985 range could cause a trending move away from the range.

-- Opening inside the 6810-6985 range however, could cause a breakout that get reverse back into the range, just like Monday price pattern 

NQ Guideline For Monday

On Friday at the open, NQ tried to rallied but sellers were waiting just below strong resistance 7100-7125.

 

Heavy selling overwhelmed buying and NQ subsequently sold off hard dropping down to just below key support at 6920 before they buyers are able to sally NQ into the close.

 

Key inflection price level for NQ on Monday will be at 7000.

-- Above 7000 buyers may try to rally NQ back up to retest 7100-7125 resistance, where sellers will be waiting to sell again. Buyers would need massive buying power to break through that resistance zone.

-- Trading below 7000 will attract another round of selling, with key support again at 6920. A clear break below 6920 will start to run over trailing stop-loss for those who are still holding their long position thus likely to cause a liquidation decline.

 

With mid-term election coming up this coming weeks the PPT may try to keep the market up for Trump. How successful will they be, it is not possible to predict, as anything is possible.

NQ Guideline For Friday

Ahead of the mid-term election next week the stock market continued to be bought on Thursday generating another up day for the stock market. The party in power would love to see massive rally into the election day but deflationary forces continues to push the market downward.

 

Overnight the stock futures has already tanked in overnight trading, unless the PPT can continue to buy and push the stock market up into the open and all day on Friday the selling may overwhelm the buying.

 

Key support for NQ on Friday will be 6930.

-- As long as NQ can stay above 6930, any selling should remain under control. However, strong resistance where sellers could come in aggressively is at 7100-7125 price zone.

-- Breaking back below 6930 could cause an out of control selling that could tank the stock market.