NQ Guideline For Wednesday

As expected, following a large trending up day on Monday, NQ traded sideways in a consolidation pattern on Tuesday.

NQ closed in a bullish zone for Wednesday, however, it may not be ready to trend again, As long as it stay above key intraday support at 12,820, we could see either another day of consolidation or a trend up day on Wednesday.

Again key intraday line-in-the-sand for NQ on Wednesday will be 12,820. Above 12,820 the buyers are still in control, bullish bias. However, should NQ break below 12,820 we could see sharp selling period as trailing stop-loss for the buyers get run-over.

NQ Guideline For Tuesday

As expected after a brief pullback in the morning on Monday, NQ then rallied all day with a small profit-taking decline at the end of the day.

On Tuesday we could expect some pullback either soon after the open or later in the afternoon, depending on where NQ opens.in relation to its intraday inflection price level, which on Tuesday will be at 12,820.

Staying above 12,820 at the open is an indication NQ is going to rally to another higher high before then pulling back down to support levels, 12, 820, then 12,785, 12,755

With most traders still on holidays, we could expect very choppy trading action going forward

NQ Guideline For Monday

After spending six days mostly inside a narrow trading range between 12,650 to 12,750 trading zone, NQ may be ready for a large trending day on Monday, the trend direction will depends on where NQ would open on Monday. 

Overnight NQ is trading up, after President Trump agreed on the stimulus and likely was followed by massive buy programs by the treasury department in order to cause a big rally, which is likely top occur on Monday.

Key intraday line-in-the-sand for NQ on Monday will be at 12,690, bullish above, with realistic upside target at 12,890, bearish below it.

NQ Guideline For Wednesday

With most traders now already on holidays, NQ traded sideways on Tuesday, with morning selloff then reversed back up.

The pattern is likely to continue for the next 2 days, sideways actions with less volatility in the afternoon.

However, as always, we must always expect the unexpected, the pattern could change.

NQ Guideline For Tuesday

The stock market sold off hard in the morning on Monday likely due to end of the year rebalancing activities, but the Fed was there to support the market by injecting massive liquidity into the banking system.

The market rallied really sharply back up. This type of activities is likely to continue into the year end as fund continue to rebalance, and the Fed will continue to stand by to support the market. As for NQ, as long as it continues to trade above 12,400, buying the dip should still works.

Trading below 12,400 could change the trade bias from bullish to bearish.

NQ Guideline For Monday

On Friday NQ opened with a gap-up, then trend down all day until the very end when arbitrage machine has stopped trading, some entity triggered massive buy programs that lasted into the close.

With the 900 billion Covid stimulus now has been agreed upon we could see a bullish Monday, as long as it can stay above key support levels.

For NQ going into Monday key intra-day support level will be at 12,701. Will remain in a bullish mode above it. If NQ is not able to stay above 12,700 in spite of the agreement on the 900 billion, that would be very bearish for the market.

NQ Guideline For Friday

A very choppy sideways day for NQ on Thursday. The choppy action may continue on Friday because Friday tends to be a choppy day.

Key support/resistance level for NQ on Friday will be at 12,730. bullish above it with upside target above Thursday high, and bearish below it with downside target at 200-ma. 

NQ Guideline For Thursday

On Wednesday, ahead of the FOMC decision the market slowly continued to rally in a choppy slow manner, liekly just from short-covering because most traders and investors are already long the market, there is no more buyers.

NQ is slowly approaching extreme overbought on the daily time-frame, but on all time-frame, everything is still pointing to the bullish side. The FOMC did not change any of their current policies. With Biden sure to be the next US presided the flood gate is wide open for massive money printing.

With central banks still has an effective control on the gold and silver manipulation scheme, look for Bitcoin to lead the charge higher, on Wednesday breaking above 20K. If global central banks fail to control bitcoin rise, the paper money regime will collapse much quicker that everyone think is possible.

On Thursday, with NQ in overbought zone on the intraday 5-minute timeframe, look for possible pullback in the morning before rally again, as long as any pullback does not break key intraday support, on Tuesday will be at 12,570

NQ Guideline For Wednesday

On Tuesday, NQ was engineered to open above prior day high, to trigger short-covering and push NQ back into the bullish zone. 

With the close at the day high on Tuesday, it kept NQ in the bullish zone. However, the close was also in overbought zone, vulnerable to a shar pullback before rallying up again.

NQ would need to clearly break below Tuesday low during a pullback decline move to cause a reversal, from uptrend to a downtrend.

NQ Guideline For Tuesday

On Monday NQ opened with a gap-up and forced a lot of shorts to cover, thus continued the rally that started on Friday afternoon. It started to look like it was going to trend up all day. 

However, after most of the shorts has covered, buying was overwhelmed by selling forcing NQ to dropped down towards the open, a very unusual pattern. At the end of the day NQ looks bearish, a shooting start candlestick pattern on the daily chart, 

Without rallying back above Monday swing high, we could see selling pressure accelerating. A break below key support on the intra-day 5-minute chart, at 12,400, we could see heavy selling.