After breaking above its 50-day moving average on the daily chart, then spent seven consecutive day consolidating sideways just above its 50-dma and 20-dma on the daily chart, NQ finally found an excuse to rocket up following the FOMC extreme dovish statement on Wednesday.
The shorts are finally starting to cover. With NQ now not yet in overbought territory on the daily chart, NQ should continue to rally, with or without consolidation , next target is its 200-day moving average, now sitting at 7100..
On the intraday 5-min chart, NQ should continue to rally without consolidation as long as it continues to trade above its 50-period moving average. A break back below 50-ma implies consolidation.
