After trading sideways on Friday, NQ opened with a gap-down and then trend down all day on Monday, a down trending day for NQ.
Monday was the third consecutive down day for NQ, and it is possible NQ may need to consolidate the large 3-day drop on Tuesday. However, to do so, NQ would need to trade above 12,300, key intraday line-in-the-sand level for NQ on Tuesday.
Trading above 12,300 could cause a profit-taking and short-covering rally on Tuesday with resistances around 12,700-12,850 zone.
Trading back below 12,300 is likely for trigger another trend down day, particularly if NQ can break and stay below Monday's swing low., with 11,800 as potential support level.
