Following a brief dip below on Sunday night when the big institutional traders are off the playing field, /NQ (Nasdaq 100 futures)snapped right back above that 9398 support level & continued to hold it on all 60-minute candlestick closes. This is why I often talk above the benefits of waiting to see how the market trades once the starters (big institutions) have stepped onto the playing field as you will always see a stark surge of volume on the futures starting at 9:30 am & quite often, a reversal of the previous trend leading up to the opening bell. (see the 2-min chart overlay at the bottom of the 60-minute chart below)
NQ 60m Feb 10th
Essentially, this gives us another successful defense of the 9398 support (less the extreme low-volume Sunday night whipsaw) while extending the negative divergences that were in place at the previous high. The more tests of a support level, the more significant it becomes and as such, nothing has changed since last week: The trend remains bullish for now with the next sell signal to come on a solid break and/or 60-minute close below 9398. I’ll follow up with some charts & key levels to watch on the indexes ETFs asap, either in a new post or in the comment section below this post.