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.
