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?
