NQ traded sideways in a pullback mode on Wednesday, the second consecutive pullback day after breaking out above key resistance at 16,450.
Thursday being the third pullback day, NQ should rally. Key support on Thursday will be at 16,000. A clear break below 16,000 is bearish. Staying above 16,000 implies either more sideways action of rally.
A pullback consolidation day for NQ on Tuesday after breaking out above key resistance price level of 16,450.
NQ needs to proceed to rally higher on Wednesday to avoid a false-breakout situation above 16,450. Failure to rally on Wednesday would increase the likelihood of a break-back below 16,450 and cause a fast and sharp decline.
Key pricxe level for NQ on Wednesday will be at 16,450, now acting as key support level.
NQ rallied again on Thursday, the last trading day before Christmas. It has rallied to just 100 points below key resistance of 16,460.
16,450 will ke a very critical resistance. A sustained break could trigger massive short-covering rally if NQ can break and stay above 16,450.
Failure to break above 16,450 could send NQ back down to critical support of 16,050. A sustained break below 16,050 could tank NQ abck down to 15,500 support zone
Both the New York Stock Exchange and Nasdaq will be closed on Friday, Christmas Eve, in observance of the Christmas holiday, which falls on Saturday this year. Normally, the equity markets close at 1 p.m. on Christmas Eve.
Merry Christmas
Massive short-covering rally on Tuesday with NQ trading down in the early morning. With NQ closing at the day high we may get some more short-covering in the morning on Wednesday.
The rally should at least continue for another two more days, with a choppy rally or a fast rally.The next resistance is at 16,100, and then if that is broken, the next higher resistance is at 16,450.
Key inflection price level for NQ on Wednesday will be at 15,900. Short-covering rally to continue above it, and trading below it implies NQ is going into consolidation with first support at 15,700.
On Monday, after making a lower low below December 3rd low NQ bounced off support. The rally accelerated into the close on Monday, setting up a large gap-up opening on Tuesday that could rocket it to the next resistance level around 15,950.
NQ is already trading at around 15,800 at the moment. If NQ should open above 15,950 on Tuesday, it could quickly rocket up to the next resistance at 16.350.
Key inflection price level for NQ on Tuesday will be at 15,650, bearish below it.
A sideways consolidation pattern for NQ on Friday. Following a strong selling day on Thursday, the sideways price action is setting up a fast a large decline on Monday, that is, if NQ can break below key support 15,700, we could see a real waterfall decline.
NQ would need to stay above 15,650 to prevent massive selling. Thus, NQ would need to stay above 15,70 to remain sideways or rally.
Wednesday was a very large up day as a result of the Fed buy programs. But sellers came back in on Thursday to tank the market back down to pre-FOMC announcement.
Since Friday tends to be a sideways type of day, NQ may trade sideways on Friday, as long a it does npot breakout of the current trading range, from 15,550 to 15,450.
As long as NQ remaisn inside the range, we should see NQ remaining choppy
On the 5-minute chart key inflection price level for NQ on Friday will be at 15,900, first resistance at 16,200. Below 15,900, first support is 15,700.
As expected, a massive buy programs by the Fed was triggered after they policy announce in the afternoon on Wednesday cause NQ to rally about 600 points from the day low.
The Fed normally follow this type of day with another round of buy programs in order not to disappoint investors and to cause a Santa clause rally the market into Christmas.
In rider to cause a massive rally NQ needs to break above key resistance level at 16,450. A sustained break above price level should cause a massive rally into the year end
Again, key Line-in-the-Sand is 16,450, extreme bullish if it can break above it, but NQ will be bearish if it is not able to break above it.bearish below it
Wednesday will be an interesting day because the FOMC will be announcing their monetary policy going forward.
We all know that the Fed does not have any good options left. The have put themselves into a corner. With high inflation and the need to continue to liquefy the financial system to avoid catastrophic collapse, we shall see which course of action they will take.
It is very likely the Fed will be ready with massive bug programs after the decision announcement. Will they be able to rocket the market with their buy programs, only time will tell, and anything is possible.
Key level to watch for on Wednesday especially after the announcement is 15,550 key support and 16,450 key resistance. A sustained breakout of the range could cause a strong trending move out of the range.
On Monday NQ opened above support then dropped down to support where it chop around above support for a while before break below iit and trend down all day on T=Monday.
For Tuesday NW either rally or trade sideways as long it it can stay above Monday low, which is key support for NQ on Tuesday.
If NQ can stay above Monday low we could see som,e [profit-taking and some buying which may cause a rally or sideways trading action.
Trading below Monday low is bearish and can casue a fast move down, next support is 15,550
FOMC meeting this week (Wednesday) announcement is very important for the market.
As usual, NQ traded sideways on Friday choppy downswing in the morning then choppy rally in the afternoon with a bullish closing.
Key inflection price level for NQ in the morning will be at 16,780, bullish bias above and bearish bias below it.
The first set of resistance is at 16,420-16,450. A clear and sustained break above that should rocket NQ higher with upside target of 17,000 which should take it about 2 to 3 days to get there.
Failure to break above 16,450 is bearish, and thus could attract selling to tank NQ back down to key support at 16,080.
On Thursday NQ opened below key resistance then immediately rally up to it and failed, thus triggered massive selling and profit-taking that lasted into the close, a large down day for NQ.
With tomorrow being Friday we could either see NQ trading sideways above key support, or break below support and triggers massive selling.
On Friday, NQ key support is at 16,060-16,160, a 100-points support zone. Should support breaks, we should see second down-days. If NQ is able to stay above support, we could see a sideways market or a trend up day on Friday with resistance at 16,250 then 16,420
On Wednesday, following a large gap-up and trend up day on Tuesday, NQ traded sideways in a narrow trading range, consolidation the very large Tuesday rally.
Wednesday was the 3rd rally day making Thursday a very key day for NQ. It either breakout and rally, to test the recent high or trend abck down to resume the downtrend.
Key level to watch for on Thursday will be at 16,450 now acting as a double-top resistance.
If NQ fail to break above it, we could see sellers coming in to sell the resistance. If so, support is at 16,000.
A sustained break above 16,450 is likely to trigger another round of short-covering. If so, the next resistance is the previous swing high at 16,750 zone.
On Tuesday NQ opened with a huge gap-up and then trend up all day, closing at the day high and just below resistance at 16,350.
On Wednesday, key price level for NQ will be at 16,250 support and 16,350 resistance (16,250-16,350 trading range).
A breakout of the 16,250-16,350 range could cause a fast move in the direction of the breakout. Above 16,350, the next upside resistance is at 16,450. Below 16,250, the next support is at 16,050
After a brief and sharp sell-off in the morning on Monday NQ reversed and rallied all day on Monday to close at the day high, setting up a trending up day, short-covering day on Tuesday, that is, as long as NQ can stay above 15,800, as key inflection price level for NQ on Tuesday.
Trading above 15,800 would forced the shorts to cover which could lead to rally up to 16,050. If that is broken, then the next upside target could be anywhere between 16,200-16,400.
Trading back below 15,800 is bearish,. If so, the next support is again at 15,550
A large down-day for NQ on Friday with the low of the day breaking below major support, the 50-day moving average and prior swing high established in September.
The momentum down is so strong that support may not hold. If so, we could see a real big crash because the next downside target is not until the 200-day moving average on the daily chart, now at 14,500.
Should the current support, Friday low, hold, we could see massive short-covering and algo buying.
Key inflection price level for NQ on Monday will be at 15,650 on the September 2021 contract, bullish above it, with the next resistance at 15,800 and bearish below it with the next support at Friday low, 15,550 area.
NQ bounced off from above strong support on Thursday and then close near the high of the day, below strong resistance at 16,050, which will become key inflection price level for NQ on Fridat.
Above 16,050 is bullish and if it vcan stay above 165,050 we could see a short-covering rally that can push NQ up to 16,350 - 16,425 strong resistance.
Staying below 16,050 is bearish, support is at 15,600-15,700
A very large down day for NQ on Wednesday, with NQ dropping over 600 points from its early morning high to close at the day low, setting up a potential heavy forced margin selling in the morning. If so, strong support is at 15,600-15,700 price zone, a combination of its 50-day moving average support and prior swing high from September..
However, should NQ crashes through support, we could see another round of liquidation selling. But if 15,600-15,700 support hold, we could see massive short-covering rally that could take NQ back up to 16,425 resistance.
Massive selling from the Fed just talking about tapering their QE. What would happen when the actually are forced to taper?
NQ has been swinging very wildly lately, with buyers, likely proxy for the Fed, pushing the market up at night when the volume is low, then sellers came in to sell during the day. Sellers seems to be the market insiders taking profit before the stock market crashes.
Key inflection price level for NQ on Wednesday will again be at 16,200, with key support at 16,080 and resistance at 16,390
The market could continue to swing wildly depending on what the Fed is hinting about their future policies will be. Thus, be nimble and always willing to change trade directions at any time, based on price l;evels, supports and resistances
A huge opening gap-up and trend up day for NQ on Monday morning but NQ mostly traded sideways in the afternoon. On Tuesday NQ either continue to rally on Tuesday with or without pulling back down.
Key price level to watch for on Tuesday will be ay 16,370 support and 16,420 as resistance. Breaking out opf the 16,370-16420 trading range could trigger fast move oout and away from the range.
Lower support is at 16,300
After a brief rally to close the gap soon after the open on Tuesday NQ sold off again until it reached key support zone at the 20-day moving average on the daily chart.
The bounce was quite large, as NQ rallied back up to key resistance at 16,300. If NQ could rally and stay above 16,300 we could see a quick rally with the next resistance at 15,450.
Trading below 16,300 is bearish. Breaking below 20-dma on the daily chart, 15,150 could cause another round of liquidation selling,, lower support is between 15,600-15,700
NQ sold off very hard on Monday because Jerome Powell was reappointed as Fed Chairman instead of the super money printer MMT lady Lail Brainard. Powell is considered to be more hawkish than Brainard, thus the sell-off.
The sell-off could be very brief simply because the Fed is still doing massive QE on a monthly basis. The market melt-up should continue into March 2022 before the bear market commences.
On the intraday 5-minute time-frame, key price level to watch for are, 16,600 as key resistance, and 16,300 as key support level, a 300-points trading range
As many traders may be out of the office for the Thanksgiving holidays, we can expect unusual trading pattern where price swings may be exaggerated.
On Friday NQ opened with a gap-up, then after a brief rally, as expected on Friday, NQ traded sideways all day.
On Monday, with s shortened trading week due to the Thanksgiving holidays, unless NQ can open and stay above key price level, 16,580, we could see sideways to down action for NQ in the morning.
Opening and trading above 16,580 could trigger another round of short-covering rally, with upside target of a break above Friday swing high.
It seems to be normal now for NQ to pullback down in an a-b-c wave pattern soon after the open then rally to another higher high, and Thursday was the same, pullback after the open then spent the rest of the day rallying to new high.
Keep in mind that Friday tends to be choppy as squaring on the books often cause a sideways market. However, with NQ closing above prior swing high on the daily chart, we could see rally on Friday if the shorts should panic and cover ahead of the weekend.
Key price level to watch for will be at 16,450, bullish above and bearish below it, with support at 16,390
NQ traded sideways on Monday, rallied in the morning but was not able to hold its gain, setting up a bearish tone for the market on Thursday.
Key price level to watch for on Thursday will be at 16,320, bullish above it and bearish below it, with key support at 16,250
If NQ should trade back above 16,320 we could see NQ trying to break above the high again.
A sideways consolidation day for NQ on Monday, setting up a trending day on Tuesday, either up or down depending on where it trades on Tuesday
Key line-in-the-sand for NQ on Tuesday will be at 16,150, bullish above and bearish below it.
NQ is likely to trend up if it can trade back above 16,220 and triggers short-covering, key support is 16,040
After consolidating all day on Thursday NQ finally broke out above its key intraday line-in-the-sand, the 200-ma on the 5-minute chart on Friday which triggered massive short-covering rally in the morning before trading sideways the rest of the day on Friday setting up the next trending up day on Monday.
To trend up, NQ would have to stay above 16,180 on Monday. Trading back below 16,180 is an indication NQ is going back down to key support, on Monday that support is at 16,080
After two large trending down days, NQ traded sideways on Thursday, consolidating the large sell-off days.
On Friday, we could see either a resumption of the decline or another choppy sideways consolidation day before it trends again next week.
Key price level to watch for on Friday will be Wednesday swing high because trailing stop-loss for the shorts resides just above it, and also below Wednesday swing low because trailing stop-loss for the buyers sits just below Wednesday low.
Key support to watch for is still 15,700, previous swing high, was resistance now turned into key breakout support level.
The stock market tanked hard on Wednesday from the high inflation rate as reported, due to fear that the Fed may be forced to speed up their tapering and or raise interest rates faster that planned. The CPI number was hugely unexpected, thus trigger some profit-taking selling.
Key price level to watch on Thursday is at 15,900. Trading above 15,900 is an indication NQ is in a consolidation mode with key resistance now at Wednesday swing high. For the shorts and stop-and-reverse trade congregates above 16,220. Trading below that level implies non-trending sideways consolidation.
NQ traded sideways on Frisday and on Monday, two pullback down day in a row.If the current uptrend does not need a larger pullback down move we should see NQ rallying up again on Tuesday. To do so it should trade back above 16,375.
Should NQ continue to trade below 13,375, it is an indication that NQ may be going into a larger/deeper pullback before rallying back up again.
Key line-in-the-sand for NQ on Tuesday will be at 16,375
Another large rally day for NQ on Thursday. NQ is now about 700 points above prior swing high. Those shorts who has not covered are now in deep losing position. They could panic.
Friday is normally a choppy sideways day, but on this Friday, anything is possible. If she shorts are forced to cover we could see another large up day for NQ on Friday. If enough longs takes profit we could see a down day for NQ on Friday.
Key intra-day price level to watch is the 50-ma on the 5-minute chart. Bullish above, and choppy below it.
On Tuesday NQ opened at key support and then rallied to higher high above prior day high before trading sideways above prior day high.
As long as NQ can stay above key support which on Wednesday, at 15,860, we could see another rally day as the shorts are forced to cover, and the Fed continues to buy the market.
Trading below 15,900 implies deeper pullback an potential consolidation.
After a huge rally on Friday NQ today spent all day consolidating the huge gain it made on Friday. If consolation has ended we should see NQ trend back up again on Tuesday.
Key support for that to happen is its 50-ma on the 5-minute chart, at the close on Monday, the 50-ma was at 15,840.
If that level can hold after the open, we could see NQ trend up on Tuesday. Breaking back below 50-ma on the 5-minute chart implies more consolidation..
NQ finally clearly broke out of the previous all time swing high of 15,690 and triggered a short-covering rally that lasted all day Friday into the close.
On Monday NQ either continue to rally if the shorts are forced to cover, or consolidate above the breakout level, 15,690 before rocketing back up again.
At the close, NQ was in overbought zone on the intra-day 5-minute chart, implying a possible pullback down move on Monday morning before it can rally again, as long as pullback down move does not get too large.
Key pullback down support is at 15,760. As long as this level is not clearly violated NQ will stay in a bullish bias zone. Breaking below implies larger pullback down to the 15,690-15,700 zone.
A choppy up-trending day for NQ on Thursday as she shorts continued to cover their position Now that NQ has broken above its key breakout price level, August swing high at 15,690
As Fridays tends to be choppy sideways pattern it would take a major market-moving new to cause NQ to trend, or if NQ should stay above breakout level, 15,690 and pushes higher, and triggers short-covering..
Support/resistance is now at 15,690-15,700
Another sideways consolidation day for NQ on Wednesday, again with morning rally and afternoon decline.
NQ is consolidating just below the high from August, either setting up for massive breakout above the high, 15,590 price level, or a sharp reversal back down.
Key level to use as a gauge of trend diection is 15,590 resistance and 15,480 support, a breakout on a sustained break above 15,590 and a fast reversal on a sustained break below 15,480. with lower support at 15,300
NQ traded sideways on Tuesday starting off with a huge gap-up and trend up in the morning, that was then followed by a sharp reversal back down to close the gap.
After the gap-close NQ traded sideways the whole afternoon setting up a bear flag pattern. The bear flag support is at 15,000. Trading below 15,000 could trigger a sell-off because a lot of trailing stop-loss for the buyers are just below Tuesday low, with first support at 15,380, then 15,300.
If NQ should trade above 15,580 anmd pushes higher, we could see another round of short-covering rally,target is above 15,700.
After a very brief decline on Monday just after the open NQ spent the rest of the day rallying with the closed near the day high.
Key support for NQ on Tuesday will be at 15,440. NQ should remain bullish above it but to continue the Monday uptrend, NQ would need to break above Monday day high and continue to push higher.
Trading between 15,440 and 15,540 implies more sideways consolidation pattern.
A bearish sideways trading pattern for NQ on Friday, a downtrend in the morning then rally, closing below resistance, the 200-ma on the 5-minute chart,15,380, which should serve as key resistance going into Monday trading.
NQ Friday low was at strong support and should be difficult to clearly break. As such it will take a very negative news to break below Friday low. Trading above the 200-ma on the 5-minute chart is bullish with the next resistance at 15,550
A narrow-range up day for NQ on Thursday. Since Friday is usually a choppy sideways day, we could expect Friday pattern to be choppy sideways.
Key inflection price level for NQ on Fridat at 15,440, bullish above, bearish below. Support are 15,400, then 15,340-15,360. Resistance are 15,480 then 15,530.
More liquidity pump by the Fed, more rally. NQ continue to rally on Tuesday. The rally should continue above 15,380, the key inflection price level for NQ on Wednesday.
If it should trade below that level on Wednesday look for large pullback down, next support will be at 15,340
Again, a massive rally in the stock market as central banks inject massive liquidity into the system as they worry about the negative impact of spiking interest rate and inflation world wide.
This is UK 2-year gild Interest rates
New Zealand 10-year yiekd
On the short term timeframe, look for NQ key pullback support in the morning on Tuesday at 15,200, bullish above, implies larger pullback if NQ clearly trade below it
A choppy sideways day for NQ on Friday following a large trending up day on Thursday. With NQ now in overbought zone on the 60-minute time frame and approaching key resistance at 15,150, NQ would need to be very bullish to trend up on Monday. To do so it would have to stay above key inflection price level at 15,100.
Trading below 15,100 is an indication NQ is going lower and in consolidation sideways mode, with first support at 15,040. Then if that support does not hold and reverse price back up, the lext lower support is at 15,000.
A huge gap-up open for NQ on Thursday and then trend up all day as short sellers were forced to cover. With Friday price action tends to be choppy, we could see a choppy day on Friday.
If NQ should continue to push higher on Friday and causes more shorts to cover, we could see NQ continuing its Thursday uptrend with strong resistance zone between 15,150-15,250
With earning season in progress, anything is possible, depending on who is going to reports tomorrow and what will be their result be.
Key inflection price level for Friday will be at 15,030
A very choppy sideways pattern for NQ on Wednesday. On the 5-minute timeframe, it looks like NQ will trend up on Thursday. To do that NQ would have to stay above Wednesday swing high and push higher. If so, the next resistances are 14,900 and 15,000.
The 60-minute time-frame is showing NQ in bear flag. If it is a bear flag, NQ would then drop down and trade below key support at 14,700, and then continue to trend lower.
NQ is also still bearish on the daily chart, with lower target is still at 14,000.
Thus key inflection price level for NQ on Thursday will be at 14,700.
A slow and choppy down day for NQ on Tuesday. With Tuesday being the 3rd consecutive down day from the last pullback high on October the 7th, we could see a sideways consolidation day for NQ on Wednesday.
NQ would need to break below 14,400 to run-over trailing stop-losses. If that happens, then we could see a large liquidation day. Until then the choppy down days can continue.
Key intraday inflection price level for NQ on Wednesday will be at 14,680, bullish above with first and key resistance at 14,760. and bearish below it..
A choppy but bearish day for NQ on Monday. Now that NQ has close in oversold zone on the 5-minute chart, we could see a gap-down open and then run down right as buyers get liquidated, or an open with a huge gap-down into deep oversold, then bounce immediately and rally back up to 200-ma on the 5-minute chart.
Either way we could see large moves on Tuesday. The impact of Chinese real estate debt default will influence trend movements on Tuesday.
Key LIS for Tuesday will be 14,760, bullish above, bearish below it.
A choppy with a bearish bias day for NQ on Friday. On the daily time-frame NQ is still below its 20-day moving average, thus still under a lot of selling pressure from the larger algos.
At the end of the day on Friday NQ is set to trend away from its consolidation zone on Monday. Key inflection price level to watch for the bias is at around 14,840, bullish above it with upside target at 15,000 if it can break and stay above 14,870.
Bearish below 14,840, with key support at 14,800. If NQ should break below it and stay below 14,800, we could see a large liquidation day especially if 14,700 support is broken.
On Thursday NQ opened with a big gap-up above key resistance level, 14,850, which then triggered short-covering that lasted for about an hour into the trading session.
But then, there was not many buyers, thus as soon a short-covering ended, NQ dropped back down to the opening price level, and close at the opening price level, a neutral close.
On Friday, a very important employment number is going to be released, and it could drastically change the market dynamos. If the employment report is as expected, we should not see much impact from it, but should the result be no priced in to the market, we could see a big move away from the current price.
Key inflection price level for NQ on Friday will be at 14,950. Bullish above bearish below it. Supports are at 14,850, then 14,750.
A very volatile early morning session for NQ on Wednesday, with a sharp rally followed by a sharp decline then sharp rally again as sellers and buyers fight for dominance.
Buyers eventually gain dominance as sellers has to cover their shorts. NQ close at the high of the day on Wednesday setting up a bullish day on Thursday as long as NQ remains above key support at the open.
On Thursday key support will be at 14,660. Bullish above, and bearish below it. If NQ can break above 14,850 we could see sharp rally as shorts may be forced to cover. If so the nest up[side resistance will be at 15,350
With so many market-moving news event, anything is possible, market can go up or down unexpectedly.
NQ trend up most of the day on Tuesday but profit-taking and selling caused a very large and sharp drop in the last hour of trading on Tuesday, setting up a bearish tone for Wednesday trading.
Depending on where NQ would open and trade on Wednesday morning, it is possible that NQ may only have one pullback up day. If so, it is an indication the NQ is very bearish. Normally we would get a 3-day pullback from oversold zone.
Key inflection price level for NQ on Wednesday will be at 14,600, bullish above it with resistance at 14,740, and bearish below it, with strong support at 14,000.
A very large down day for NQ on Monday, breaking below July swing low, but then closed back above it. Monday low was also starting to get into overbought zone on the daily chart, and could bounce and get into a multiday rally at anytime now.
On the intraday 5-minute timeframe, NQ close above its 50-moving average on the 5-minute chart, 14,420, which will me inflection price level for NQ on Tuesday.
As long as NQ can stay above the 50-ma level on Tuesday we could see more rally or just sideways trading action.
Breaking back below 14,420 could attract another round of selling.
After trending down all week, Friday was a time to take profit. Profit-taking by the shorts triggered a very large and very sharp rally, back up to prior swing low turned resistance at around 14,800 before pulling back down to support.
Whether Friday was a one-day bounce or the start of multi-days bounce, we shall see where NQ would trade on Monday. Key inflection price zone would be around 14,700.
Trading back below 14,700 is an indication that NQ downtrend is resuming. Staying above 14,700 implies continue rally or just a sideways consolidation.
A choppy down day for NQ on Thursday. Fridays used to be very choppy and sideways type of days. However, recently Friday has been trending down as traders exit their long position as they are not willing to take the risk of holding longs through the weekends.
Key inflection price level for NQ on Friday will be at 14,800, bullish bias above, bearish bias below it, with the next lower support at 14,400.
A bearish sideways consolidation trading action and pattern for NQ on Wednesday, setting up for a big down day once consolidation has ended. The downtrend may resume either on Thursday or Friday.
The daily time-frame is bearish, and the 60-minute time-frame is also bearish. However, NQ could continue to consolidate or even rally for the next several day before tanking back down again.
On the short term intraday time-frame, key inflection price level for NQ is at 14,800, bullish above it with key resistance at 14,900, and bearish below ir.
On Tuesday NQ opened with a huge gap-down then trend down seven waves on the 5-minute chart time-frame before the decline stopped, then spent the rest of the day trading sideways. If the sideways consolidation has ended, NQ should trend back down again on Wednesday.
Key price level to watch for on Wednesday will be Tuesday swing low. Trading below Tuesday low, 14,740, is going to run over more trailing stop-losses, the next support is 14,400.
If NQ can stay above Tuesday low, it may either trade sideways or rally as the short may decide to cover.
On Monday NQ opened with a huge gap-down and then quickly and immediately dropped down to support. It then traded sideways between support and resistance all day long.
For Tuesday trading session, it is likely NQ is going to trade sideways again between support at 15,120 and resistance at 15,260..
However, if NQ should trade outside the 15,120-15,260 trading range, and stay out of the range, we could see a fast trending move away from the range.
A false breakout of the range is likely to trigger a fast reversal.
With NO taper any time soon, and No taper ever simply because of the debt trap, the market may just continue to melt-up and up as hyperinflation of fiat currencies world wide drives asset prices higher as investors seeks protection from massive inflation due to pure money printing by world central banks
The possible black swan even that could cause the deflationary forces to overwhelm central banks money creation activities would be a massive real estate collapse in China, with contagion to the rest of the world. As long as the contagion from Evergrande is contained, asset inflation should continue.
On the short term intraday time-frame, key inflection price level for NQ on Monday will be at 15,350, bullish above with upside target at 15,550, bearish if it cannot stay above it, with first downside target at 15,150
With the Fed not going to start tapering anytime soon the shorts continued to cover on Thursday, pushing NQ up to key resistance at 15,350, now key line-in-the-sand.
However, even with NO taper by the Fed but with the 10-year treasury yield currently going higher due to persistent inflation, and if the yield continue to go higher, even without the Fed taper, the stock market is still vulnerable to a massive algo selling, the next key level will be at 1.50% on the 10-year treasury bond.
On the short term intraday basis for NQ on Friday, key inflection price level will be at 15,320, bullish above, bearish below it, lower supports is at 15,200
A rally day for NQ on Wednesday, the third pullback day since breaking below the 50-day moving average on the daily chart.
Now that the FOMC decision on policy is out of the day, if the fast downtrend is going to continue right away we should see NQ start to trend down on Thursday. If that does not happen, we can expect further sideways consolidation days or rally up day.
With the Fed not doing any taper to their QE anytime soon, we could see the stock market rallying back up again, with first resistance break is the 50-day moving average on the daily chart, now at 15,170
Key intraday price level for NQ for Thursday will be at 15,200 resistance. Bullish above and bearish below it.
On Monday, NQ opened below its 50-day moving average on the daily chart, thus triggered massive selling that lasted most of the day. It was a very large down day.
NQ is now clearly in a downtrend on the daily chart, with downside target its 200-dma on the daily chart, now at 13,800.
Key level to watch would be the 50-dma on the daily chart, now at 15,180. As long as NQ remains below 15,180, selling pressure should continue.
Key intraday inflection price level for NQ on Tuesday will be at 14,900, bullish above it, with first upside resistance at 15,150. Bearish below it with first support at 14,800 then 14,400.
NQ day high on Friday was the 20-dma on the daily chart, its key inflection price zone. As NQ opened below the 20-dma, sellers came in aggressively tanking the market and caused a large trending down day for NQ on Friday.
The open was at the day high and the close was at the day low, setting up for a potential bounce day for NQ on Monday or another large sell-off day, and it depends on where it opens and trade soon after the open on Monday.
Key intraday inflection price level for NQ on Monday will be at 15,320.
-- Bullish above it with the first resistance at 15,400, and bearish below it with first support at 15,150, and then a stronger support at 15,000
NQ sold off again soon after the open in the morning on Thursday. This pattern of institutional selling in the morning then followed by retail buying in the afternoon should continue until institution has completed their distribution activities, or until some external even forced many funds to have to sell their position whether they want it or not. That time is coming soon.
On the intraday time-frame, key price level for NQ on Friday will be at 15,520, bullish above, bearish below it
On Wednesday the downtrend finally reversed back up in a convincing fashion. NQ again broke down below its key 20-dma support for the third day in a row on Wednesday morning but failed to trigger sell programs. The shorts eventually cover, causing NQ to reverse back up.
As long as NQ does not drop back down below 15,400 price level, NQ will have a bullish bias. However, trading back below 15,400 is bearish.
Key line-in-the-sand for NQ on Thursday will be at 15,520-15,560 resistance. NQ would need to break above 15,560 to continue the rally.
The stock market is now at the verge of breaking down and tank hard.
If the S&P 500 can break below its 50-dma and if NQ breaks below its 20-dma, we could see a sharp and large sustained decline, a mini crash.
However, if both the NQ and S&P 500 can remain above their respective key support, we could eventually see a sharp short-covering rally.
On the short-term intraday time frame, key support for NQ on Wednesday will again be at 15,400, bullish above with resistances at 15,440 then 15,520-15,560 as key resistance zone, and bearish below it, with potential mini crash.
Another large down day for NQ on Monday following a large down day on Friday. The low of the day for NQ was below key 20-dma support on the daily chart..However NQ managed to close above the 20-dma on the daily chart.
Key line-in-the-sand price level for NQ going forward ios at 15,400, bullish above it, and bearish below it.
On the short-term intraday time-frame, key inflection price level for NQ on Tuesday is also at 15,400, bullish above it with key resistance at 15,520. A sustained break above it could trigger some short-covering rally day as the shorts may be forced to cover.
A large down day for NQ on Friday. With the Fed Chairman determined to prevent the dollar collapse they may sacrifice the stock and the bond market to save the dollar.
Jerome Powell insist the Fed will starts to reduce their QE by 15 billion per month, from the current 120 billion per month to 105 billion a month. Still massive QE but smaller QE. Even then, the stock market and the crypto market may crash spectacularly.
Key price level to watch on Monday will be the 20-dma on the daily chart, now currently at 15,370. As long as NQ trades above 15,370 zone we could see the decline stabilise and may bounce.
A break below 20-dma this time, is likely to trigger massive liquidation, with the next lower target at 15,000-15,150
NQ traded sideways but with a slightly bearish bias, the open was near the day high and the close was near the day low, a down day.
On Friday, with its bas towards a choppy sideways trading action, unless there is a market moving new release that knocks the market off balance, we could see another sideways type of day again, with key resistance at 15,620 , and key support at 15,520.
A break out of the range 15,520-15,620 could cause a fast move out to the next resistance 15,720, and the next support at 15,420.
NQ traded sideways on Wednesday with the usual early morning selling by institutions then buying by retail investors.
This pattern is going to continue for a while until institutions has unloaded majority of their positions before selling the rest of their position, which would tank and tank the market
Key inflection price level for NQ on Thursday will be at 15,600, bullish above with key resistance at 15,700, and bearoish below it with key support at 15,520.
NQ traded sideways in a very narrow range on Tuesday. With not many buyers at this level, and no sellers either, NQ simply trade sideways.
On Wednesday key price level will again be at 15,700, bullish above it bearish below it, However, if there is no market moving news release, we could continue to see NQ traded sideways in a narrow trading range on Wednesday, as many large institutional traders are still on holiday until next week.
A sideways trading action for NQ on Friday. The market was closed on Monday. When the market reopens on Tuesday key line-in-the-sand for NQ will be 15700.
NQ is bullish above 15,700 and it could be a trending up day, with the next upside target at 15,800, and bearish below it, implies more choppy trading action, with the first support at 15,640, then key support at 15,570.
A down day for NQ on Thursday, and a larger trading range than the last couple of days.
Friday could be choppy again, with key inflection price level at 16,620 again, bullish bias above it and bearish bias below it, first support at 15,520
NQ opened above prior day high which immediately forced the shorts to cover causing a sharp spike. But once all the short term shorts traders has covered NQ dropped back down simply because there is no more buyers up here.
NQ closed back down and closed at prior day just above key line -in-the-sand 15,620, which will be a line-in-the-sand again for NQ on Thursday., bullish bias above it and bearish bias below it.
With most large institutional investors out of the office for the long weekend holidays, we are ;likely going to witness another choppy sideways type of day.
NQ traded sideways on Tuesday, in a very narrow trading range, ahead of the long labour day holiday weekend.
However, there is still a good possibility NQ could trend up tomorrow because when most traders and investors are now on a long weekend holiday, and if the Fed decide to push the market up they could easily do it when most are on holiday.
Support price level for NQ on Wednesday will be at 15,520, and potential trending up move above 15,620
A trend-up day for NQ on Monday with the open above price inflection zone which triggered a bullish bias day. It trend up all day into the close.
By the end of the day NQ was in deep overbought zone on the 60-minute and the daily time-frame thus vulnerable to a sharp pullback at any moment.
However, as long as it stays above key inflection price zone on Tuesday (15,590) the bias is to the upside. Breaking below it implies potential sharp drop down to support at 15,460.
A huge rally for NQ in the morning after Jerome Powell spoke at Jackson Hole, a very large buy programs likely trigger by the Fed to push thew stock market up. But it soon died down because there is no more buyers up at these level. The Fed may be the only buyer at this price level.
Key inflection [price level for NQ on Monday will be at 15,420, bullish above it and bearish below it, with first support at 15,360
Another sideways narrow-range trading action for NQ on Thursday. With central banks meeting in Jackson Hole this weekend, the market may just chop around as most institutional fund wait for more direction from the Fed regarding their monetary policy
As such, look for the market to continue to trade sideways until the news from the Jackson Hole meeting has been analysed by the majority of the market participant.
The market is bearish unless the Fed announces a more aggressive easy money policy.
An even narrower trading range for NQ on Wednesday as traders and investors wait for the news leaks from central bankers Jackson Hole's meeting.
When it starts to move, it could be a big move after two full days of consolidation. The direction of the next large move will depends on the news and on the technical price level line-in-the-sand, now at 15,350.
A very narrow range day for NQ on Tuesday as there is really no more buyers up here. After all the shorts that needs to cover has covered, there is no more momentum to the upside.
On Wednesday, NQ may need to pullback down to support to fine new buyers, or new buyers came into the market from somewhere and rally NQ further up.
Key support for NQ on Wednesday will be at 15,350, bearish below it, with first lower support at 15,280, and bullish above it, and if somehow new buyers shows up, we could see another rally day following a one-day consolidation..
A breakout day for NQ on Monday. Short-covering was triggered and lasted all day long. At the close, NQ close right at key inflection price level 15,320.
NQ will go into pullback consolidation mode below 15,320, and a continue to rally above it.
On Friday NQ rallied sharply in the morning, but then traded sideways in the afternoon, closing above key line-in-the-sand price level for Monday. The line-in-the-sand level is 15,070.
If NQ should open above 15,070, it would be bullish and would stay in a bullish mode as long any pullbacks remains above it 50-ma on the 5-minute chart.
A break below it on any pullback is an indication NQ rally has ended and that it is going into a pull-back down mode with the first downside target at its 200-ma on the 5-minute chart.
NQ opened with a huge gap-down on Thursday but immediately rallied closing the gap and then broke through all the resistances before pulling back down and then close at the neutral price level, 14,950, which will serve as inflections price level for Friday.
Unless we get market moving new before the open on Friday, we could see NQ trading in a choppy narrow-range all day simply because Friday tends to be choppy. If so, first resistance is 15,040, and support at 14,840.
Just a small mentioned of tapering by the Fed was enough to tanked the stock market in late afternoon. All major indices had broken and close below their respective 20-day moving average on the daily time frame.
Unless it can recover and rally back above their respective 20-dma, we could see a big sell-off very soon and it could happen on Thursday. If so the next support on NQ is at 14,700
Intraday inflection price level for NQ on Thursday will be at 124,940. The next resistance at 15,020, and support at 14,840
NQ trend down in the morning on Tuesday then reversed back up in the afternoon retracing some of the morning decline. However, the close was still below resistance, now at 15,020, Wednesday line-in-the-sand.
15,020 will be a very important price level for NQ on Wednesday. If NQ is not able to break above it and stay above it on Wednesday, the longer-term algos may starts their longs and reverse shorts or forced to reverse short, then we are going to see a sharp and large sell-off, with the next support at 14,670
Bullish above 15,020, with first upside target at 15,120.
The fall of Afghanistan is very negative for the financial markets. If confirms the rise of China and the decline of American power and influence around the world.
NQ trend down sharply in the morning on Monday only to then reversed sharply before lunch, closing at the high of the day.
The rally was very choppy, clearly manipulated by the Fed, and no genuine buying. The upside momentum on the daily time frame is clearly slowing down. It is now just a matter of time when the stock market is going to tank and tank and there is not much the Fed can do about it. For now, we tends to get sharp sell-off in the morning followed by choppy rally.
Key support on Tuesday will be at 15,070. Any pullback that stopped at or above 15,070 will get bought. Breaking below 15,070 will be bearish.
If NQ could break above 15,170, and triggers short-covering, we can see NQ spiking up to 15,200-15,300
A very narrow range choppy price pattern for NQ on Friday. It could be setting out for a small breakout to the upside on Monday. However, it may not be a trending day.
If NQ does break to the upside that starts to run over trailing stop-losses, is likely to trigger a rally that is followed by reversal maybe in the afternoon after all the shorts have covered.
Having said that, we should always watch out for a possible trending up day if NQ can break above the recent swing high of about 16,160 and then stay above it., there is always some chance that a breakout could trigger trending up day.
Key support for NQ on Monday will be at 15,060, key resistance at 15,160. A sustained breakout of the range could trigger trending move out, with possibility of a false-breakout.
On Thursday NQ opened and dropped down to support very quickly, the 20-day moving average on the daily chart, 14,960, and then bounced and reversed, rallying all day into the close.
NQ is now firmly above key intra-day support, at 15,030 for Friday. As long as there is no unexpected market moving new on Friday, NQ should have a bullish bias, with key support at 15,030.
Recent market actions, first, gap-up open continues to be sold, and second, a wide range morning price actions continues to be followed by choppy and narrow range trading action after lunch and into the close.
On NQ daily chart, NQ is still trading above its 20-day moving average, now at 14,050, but it is now not so far away above it. A sustained break below it is going to trigger a large trending move down. 20-dma is a strong support zone, thus, NQ would need to clearly break and stay below it to trigger a selloff.
Intra-day inflection price level is at 15,020 bullish above with first resistance at 15,080, bearish below it, first support at 14,960
I have been saying that NQ rally on the daily time-frame has been losing momentum. On Tuesday NQ finally had a pullback down move.
However, since its still trading above its key 20-ma daily, the bigger players are still in buy mode. NQ needs to break below 20-ma daily to trigger a big sell-off. Keep an eye on the 20-ma daily, now at 14,940
For Wednesday, key inflection price level for NQ will be at 15,040, first resistance at 15,100, first support at 14,940
A very narrow range day on Monday. There is no more momentum left in the current uptrend, as evryone who want to buy has bought.
There was also no sellers, simply because Q is still trading above its 20-dma on the daily chart. This choppy narrow range pattern of treading is going to continue as long as NQ remains above its 20-dma on the daily chart, now at 14930.
Key inflection price level for NQ on Tuesday will again be at 15,100, bullish above, bearish below it.
A narrow-range choppy day for NQ on Friday. With inflation expectation getting more mainstream which is beginning to forced the Fed into reducing their QE level, and the government running out of money, the market is starting to top, many may be forced to liquidate their stocks holding to pay their bills, we could start to see market selling off.
Key price level for NQ will be its 20-dma on the daily chart, 14,920. A break is likely to trigger heavy selling. Staying above it would imply more chops and more narrow range days.
For Monday key inflection price level will be at 15,100, bullish above it, bearish below it, with key support at 15,040, second support is at 14,920, 20-dma on the daily chart., should that level get violated, the next lower support is not until 14,450, its 50-dma on the daily chart.
A very choppy narrow range up-trending day for NQ on Thursday ahead of the all important employment report due to be released before the open in the morning on Friday.
With the bull market still in-charge, any good or bad employment reports should be interpreted as bullish for the market, The chop soon after the release is to be expected, but by the opening bell, we should know where the market trades in relations to their Thursday closing price.
For NQ key inflection price level on Friday will be at 15,150. If NQ should open and able to stay above 15,150 on Friday we should see a rally as some shorts may decide to cover. Trading below 15,150 could be bearish, with key support at 15,080, then 14,990. Should 14,990 be clearly violated we could see sharp and large sell-off.
Another choppy narrow range day for NQ on Wednesday with a slight bullish bias. The momentum for the current rally is dead, and really struggling to go up. There is hardly any more buyers left as everyone has bought and now almost everyone is long the market.
Without much buyer and without sellers, the market continue to chop around in a choppy narrow range action. Key support for NQ remains at its 20-day moving average on the daily chart, now at 14,880. As long as NQ can stay above 14,880, NQ would continue to have a slight bullish bias, any decline continues to get bought.
For Thursday, key intraday inflection price level for NQ will be at 15,080, with first resistance at 15,130 double-top, and slightly bearish below it with the first support at 15,040, then 14,980.
On Tuesday NQ opened and dropped down to its 20-ma on the daily chart, the third test of the 20-ma in the last five days.
Although there were still a lot of buyers at the 20-dma, the flattening of the 20-dma daily implies, the next it drop back down there, it is likely to break.
Key inflection price level for NQ on Wednesday will be at 15,010, bullish above, bearish below it.
On Wednesday we could see a rally if NQ can trade and stay above 15,010, and bearish below 15,010
NQ traded sideways on Monday, not able to trend up as the setup suggest, that's a bearish signal. However, key support now is 14,850, the 20-day moving average on the daily chart. Above 14,850 NQ may just continue to trade sideways in a choppy pattern. A break below 14,850 would likely trigger massive selling, with the next key support at around 14,400
Key intraday inflection price level for NQ on Tuesday will be at 14,980, bullish above with first resistance at 15,080, and bearish below it with first support at 14,880.
On Friday NQ opened right at its 20-day moving average on the daily chart, and immediately bounce off it to test resistance before pulling back down and trade sideways all day into the close.
The sideways action is setting up a potentially large trending move away from the 200-ma on the 5-minute chart, the direction will depends on where it trades oin relation to its 200-ma on the 5-minute chart.
Key price level (L-I-S) for NQ on Monday will be at 14,980, bullish above it and bearish below it.
The pattern on the 60-minute chart and the daily chart is bullish, indicating that the next trending move is up. Thus if NQ can open and stay above its key line-n-the-sand 14,980, we could see a big rally on Monday with the next upside target at 15,170-15,200 price zone.
Breaking below 14,980 could trigger selling, with first target at 14,800
NQ failed to breakout above key resistance on Thursday. After testing 15,080 resistance multiple time on Thursday NQ eventually dropped back down to key support.
Overnight during globex trading, NQ has sold off hard, dropping down about 200 points from the close, setting up a potentially large down day on Friday, with key support at 14,780. Should 14,780 breaks we could see a cascade of selling if the bulls decide to bail.
Key intraday line-in-the-sand for NQ pon Friday will be at 15,000, bullish bias above, bearish bias below it.
Wednesday was the second pullback day for NQ following six up days in a row. If the uptrend on the daily chart is still in progress NQ should rally on Thursday and it should be a trending-up day.
Should NQ fail to rally on Thursday we know that the current uptrend on the daily chart has ended. If so, we should see NQ breaking back below 20-ma on the daily chart, and likely tank..
On an intraday time-frame, for Thursday, key line-in-the-sand for NQ is at 15,000, with 15,080 as key resistance to break through.
If NQ could break above 15,080, and then trigger some short-covering and some buy programs, we should see a large up-trending day.on Thursday with the upside target at 15,200-15,300 area.
A very big down day for NQ on Tuesday, with NQ dropping down over 300 points from the day high to the low of the day. NQ reversed back up in the afternoon and then close inside a choppy range between 14,860 key line in the sand and resistance, 15,040.
NQ would need to break below Tuesday low to trigger another strong liquidation drop.
A choppy and narrow-range sideways trading action on Monday following a large up-trending day on Friday.
Tuesday could be a resumption of uptrend if NQ can trade and stay above 50-ma on the 5-minute chart. As of the close on Monday the 50-ma on the 5-minute chart is at 15,100, which will be key line-in-the-sand for NQ on Tuesday
If NQ should trade back below 50-ma on the 5-minute chart on Tuesday morning, it implies NQ consolidation is still in progress.
A trending up day for NQ on Friday but then close at a price level that would be a key line-in-the-sand level for trading NQ on Monday, the price level is at 15,100.
If NQ should open and trade below 15,100 on Monday morning, we would likely see a choppy non-trending type of day, likely a pullback day, with strong support at 15,000 .
If NQ should open above 15,100 and then able to stay above 15,100, we could see another trending up day again on Monday.
NQ continued to rally on Thursday. The candles on the daily charts looks impulsive to the upside for the last four days, looks set to break the recent swing high of 15,000, whether it will occurs on Friday or next weeks, only time will tell.
On the daily chart, the higher high would come with a bearish momentum divergence, and with the S&P 500 spotting a very bad breath, setting up a rally to higher high to be followed by a sharp reversal back down to starts the l;tong awaited bear market.
The Fed and all the other central banks is likely to continue to buy the stock market, but they may not be able to push the market much higher against a powerful forces of deflation.
Look for higher high divergence to start a new sharp deflationary bear market that will last until next year.
Key intraday line-in-the-sand for Friday will be at 14,900, and key resistance is at 15,000
As we know, the stock market is highly manipulated by central banks, including the the Fed, as they can conjure any amoput of digital currency into existence without any production cost whatsoever. Under any normal market consitions, we should be looking for a lower high on this current simply because it has broken its 20-day moving average on the daily chart.
Because the stock market is not a free market as it used to be, we can expect just about anything to happen. For NQ the last three consecutive up-days has been impulsive and looks set to make a higher high above the recent high of 15,000.
Thus as long as NQ does not violate its previous day low, the uptrend should continue as shorts gets squeezed and forced to cover.
Key NQ intraday line-in-the-sand for Thursday will be at 14,780.Bullish above it and bearish below it, with NQ first intraday support on Thursday at 14,720.
On Tuesday, NQ opened with a gap-up, then after pulling back down to support it then trend up all day into the close, with a small profit-taking decline at the end of the day.
On Wednesday NQ look's set to trade sideways with support at 14,620 and resistance at 14,800. As long as NQ remains inside the 14,620-14,800 trading range, NQ should trade sideways.
However, although not very likely, should NQ trade out of the above trading range, look for NQ to trend again, up or down.
On Monday NQ opened with a huge gap-down to below its 20-day moving average on the daily chart, then traded sideways all day , setting up for a choppy sideways day on Tuesday. Key intra-day price level for NQ on Tuesday will be at 14,580 resistance and 14,460 support.
Trading above 14,580 could trigger some buying that could help push NQ higher to 14,680 first resistance. Trading below 14,460 could trigger another big sell-off, with ultimate downside target at 13,800-14,100 strong support zone.
What I think is likely to happen the next several days, Tuesday and Wednesday, are choppy sideways type of days, trading below 14,800, then tank again on Thursday or Friday.
Having said that, anything is possible. If NQ started to rally up in a big way the next several days, we could see NQ re-testing the recent high or even higher high above 15,000.
Another down-trending day for NQ on Friday, following a down day on Wednesday and Thursday. From the high on Tuesday July 13th 2021, NQ had 3-consecutive down days, with Friday close not too far above the 20-day moving average on the daily chart, we could see a quick drop down to the 20-dma on the daily chart, now at around 14,600, then rally for one or 2 day.
Also as likely, NQ could drop-down to break below the 20-dma on the daily chart, then pullback up to the 20-dma before dropping back down to its 50-dma, or just drop down very quickly to the next support, the 50-dma on the daily chart now at around 14,000 .price level.
If the 20-dma on the daily chart should cause a sharp bounce, it is an indication NQ is going back up to re-test the high from July 13th.
A down-trending day for NQ on Monday, likely from profit-taking as NQ is in extreme overbought conditions on the daily time-frame.
On Friday we could could expect a sideways consolidation type of trading pattern unless see NQ trading below Thursday low. As Friday tends to be a sideways type of days, we could expect a sideways trading pattern on Friday.
Key inflection price level for NQ on Friday will be at 14,800, with first resistance at 14,860, and first support at 14,700
NQ traded sideways again on Thursday. The intraday 5-minute time-frame technical pattern is showing a potential for another sideways pattern again on Thursday, with rally potential upside target at 15,050 zone if NQ can maintain a sustained break above 14,990 area.
On Thursday, NQ Support is at 14,840. with lower support at 14,800.
NQ opened with a huge gap-down, something that is likely to happen as NQ is currently very overbought on the daily time-frame and also on the shorter term time frames, the 60-minute and the 5-minute time frames..
Buyers immediately came back in to buy, pushing NQ sharply back up until it reached its strong intraday resistance, the 200-ma on the 5-minute chart before pulling back down.
The end of day pattern on the 5-minute charts looks like it should rally tomorrow on Friday in the morning if NQ can open above its 200-ma on the 5-minute chart, now at 14,740, with the first resistance above the 200-ma at 14,850.
If Thursday selling was more than just a one-day event, then NQ should stay below 14,740 at open on Friday and then drop down to support, with the first support at 14,650 then 14,540
NQ opened with a huge gap-up on Wednesday and quickly sold off as usual in the morning. Buyers came in but was not able to push it into higher high. NQ close in the middle of the day range, setting up for a high probability sideways trading action on Thursday.
Intraday support for NQ on Thursday will be at 14,750, with intraday resistance at 14,850, a 100 points trading range. NQ would have to clearly break out of the range and stay out of the range to cause a trending move.
The current uptrend on the daily time-frame is still intact. On Tuesday the usual morning pullback down move to support was again bought, and NQ closed at the high of the day.
On Wednesday with the close at overbought zone on the intraday 5-minute chart, we could again see a pullback down move in the morning before buyers come back in again to push the market even higher.
NQ is now in parabolic up-move on the daily chart, and it should continue, as long as it can stay above its 20-DMA on the daily chart.
Key intraday support on Wednesday for NQ is at 14,720. As long a any pullback down move does not clearly break below 14,720 NQ should continue t rally to another higher high above Tuesday swing high.
NQ is currently in a sharp parabolic move up on the daily time-frame as short-sellers are forced to cover. The upside target is still at 17,000 or higher. However, as of the close on Friday NQ was in overbought zone on the daily chart.
Although Friday was a trending up day and in overbought on the daily chart it is still possible that NQ could trend up again on Tuesday, simply because it is in a fast parabolic up move.
Key line-in-the-sand for NQ on Tuesday will be at 14,680, bullish and potential trending up day above 14,.680, and in a pullback sideways consolidation below it. First support is at 14,620
NQ is now clearly above February swing high which is a key breakout price level. The shorts has started to cover, which has led to a sharp up-move since the middle of June, and should continue into the end of July to early August 2021.
On Friday NQ was in overbought zone on the daily time frame, now vulnerable to a quick one to two days sharp pullback down at any day now.
The trend is still clearly up, with the next upside target of 17,000, expecting a fast run-up in a parabolic pattern to end the bull market bubble, to be followed by a devastating reversal, a deflationary collapse, the bursting of the bubble.
Key price level to watch for during this current rally is the 20-day moving average.
The stock market is close on Monday for the 4th of July holiday
After opening with a huge gap-up on Thursday NQ then traded sideways in a very narrow range the rest of the day. At the end of the day NQ looks set to trade sideways again, especially with Friday generally a sideways day.
Support for Friday is at 14,300-14,320 and resistance is at Thursday's swing high.
NQ traded sideways in a very narrow range on Wednesday, a day after a trending up day on Tuesday.. At the end of the day on Wednesday, NQ may need to consolidate again on Thursday as the 50-ma and the 200 ma on the 5-minute chart are still far apart.
Key support for NQ on Thursday will again be at 14,230, bullish above, bearish below it.
NQ trend up all day on Tuesday, closing near the high of the day. Usually after a trending day like on Tuesday, there is a higher probability that it is going to trade sideways on Wednesday. However, there is still a chance NQ can trend again on Wednesday, but with a low probability.
Key support for NQ on Wednesday will be at 14,230. Trading below 14,230 implies NQ is in consolidation sideways mode. Staying above 14,230 is an indication NQ uptrend that started on Tuesday morning is still in progress
