As usual, NQ traded sideways on Friday, with choppy sideways morning that was followed by midday selling that was then followed by afternoon rally, with a close right near key support level of 11,050 on NQ September Futures Contract which again will serve as key support level for trading on Monday.
With the futures contract already trading up over 150 points on Sunday evening, it is possible that trailing stop-losses for the short sellers could get run-over when the stock market opens for trading on Monday, triggering a rally up to the next key resistance, the 5-minute 200-period moving average, not at 11,275, at similar level to Fridays swing high.
11,275 will serve as very strong resistance for any rally on Monday, As such if they are able to push NQ above 11,275 on Monday, it could trigger further rally and failure to break above it cold send NQ back down to 11,050
