NQ opened with a gap-down on Monday. For some reason the Fed buy programs was triggered immediately and continued into the close. The buy programs continued into the globex overnight trading which is likely to cause a huge gap-up open on Tuesday.
Without a huge liquidity injection overnight we could see a gap-up that get sold. On a huge gap-up open, the key price level to watch after the open is the opening price.
On a huger gap-up open, key price level will be the opening price.
-- If NQ opens with a huge gap-up but failed to stay above the opening price we would likely see a gap-reversal, with first downside target at 9480.
-- If it can hold above the opening price we could see another up-trending day, but the probability of another trending up day is very low on Tuesday.
Supports are 9480 and 0450
