BIG PICTURE – NQ
What a week it has been for the NQ as the leading index to the downside. Post-holiday, end of the month, employment econ data and soon to be contract rollover has seemed to let some of the steam out on the post election run up. Not to forget upcoming Italian referendum this weekend (just another reason for ALGO volatility). With the “FANG” stocks turning south, leading the index followed by the ES and lagging YM, the NQ was able to find some footing near the open gap from November 8th and hold as we head into the last key piece of data for the week; Non Farm Payroll. Relentless two day sell off will show it’s colors on Friday’s session if we hold or we finish the week off even lower. As always, leave your bias at the door of where you think the market should be, and watch the charts in frot of you.
**Disclaimer: Attempting to determine which way a market will go on any given day is merely a guess in which some will get it right and some will get it wrong. Being prepared in either direction intraday for the strongest probable trend is by plotting your longer term charts and utilizing an indicator of choice on the lower time frame to identify the setup and remaining in the trade that much longer. Any chart posted here is merely a snapshot of current technical momentum and not indicative of where price may lead forward.
NQ – Nasdaq Futures
Daily and 4 hour resistance at 4882 holds the line as price action broke through the daily 50ma and remains above the 200ma. If price action is to hold upside on the hourly off the 4707- 4727 lower zone, look for the upside resistance on the 50/144ema cloud up to 4831. If price action is to continue downside, the daily 200ma and open gap is the long term play. A stall at the 4 hour lower zone may be the first support upon confirmation of new levels on the hourly.
Upper Zone: 4922-4960
Lower Zone: 4453-4414
Nearest Open Gap: 4610.75
Upper Zone: 4883-4902
Lower Zone: 4629-4649
Globex session dropped 20 points to reset the hourly levels on the right chart. Higher time frame levels remain. Cloud resistance gap has now opened upside from 4771 to 4814.
Intraday chart with 60m (upper left) off the stall level as the 15m chart (lower left) found support off the lows. Range chart (right) off the lows as well and back upside with trending HA bars and crossover of T3-50 and 50/144ema cloud.