I was waiting to see how the stock index futures would trade once the lock-limit down was lifted at the opening bell (it was hit last night again for what has recently become a fairly common occurrence). As of shortly after the opening bell, there haven’t been any material changes in the technical posture of the major index-tracking ETFs & futures although that can certainly change in a New York Minute in this market. Essentially, the same positive divergences that highlighted yesterday are still intact, as of now, and although /NQ did cross back down below the 7293.40 support/resistance level yesterday late-afternoon (triggered the subsequent drop), that sent /NQ for yet another successful test, at least so far, of that key 6947ish support level with the 4th test & reversal off that level since last Thursday.
While four successful test of a support level in no way guarantees it will hold, that forth test helps to validate that an important level to watch as a solid break below (other than a brief, stop-clearing whipsaw followed by recovery) would likely open the door to the next wave of selling. Basically, same story as yesterday: A break above R1 would likely trigger a rally up to T1 or more so, the trendline now that it comes in first, while a solid break below the 6947 level would likely usher in more selling (after the first circuit breaker is trading halt is hit & then removed).
NQ 60m March 18th
No change in the technical posture of QQQ despite another wild ride in the futures overnight other than the gap down below the R1/S1 level (~179). Positive divergences still intact, for now, with a solid break below 169 bearish & a break back above R1 likely to send QQQ back up to the downtrend line/T1 level. 30-minute chart below.
QQQ 30m March 18th
SPY has made a slightly lower low with the positive divergences still intact with room for another marginal new low that would extend the divergences further unless SPY were to drop considerably.
SPY 30m March 18th