On Monday NQ had a follow-up rally from Frioday low, and it closed at the high of the day, a trending up day for NQ on Monday. Overnight on Monday night, NQ is already trading down to near the day low on Monday.
Key price level for NQ on Tuesday will be 11,850, the 200-ma on the 5-minute chart.
Trading below 11,850 implies bearish day with the next downside target below Friday low. Whether or not NQ would breach that on Tuesday only time will tell.
Trading above 11,850 implies choppy sideways price pattern. NQ needs to trade above 12,125 to trigger more short-covering.
