Wednesday was the 3rd pullback day for NQ. NQ opened with a huge gap-up, rallied up to resistance then reversed, closing at the low of the day, a classic bearish reversal day.
Overnight NQ has dropped over 200-points as I wrote, at midnight Eastern Time, a clear indication that the downtrend has resumed.
Key support for NQ on Thursday will be at 17,400. With so many people buying the recent drop from the high, if 17,400 support is violated to the downside in the morning on Thursday we are likely to see a cascade of selling that could easily tank NQ down to break its recent low at 17,100.
The next strong support is at 16,700. Whether NQ can get there in one day is difficult to know, it could take one or 2 days to get there.
