Market outlook 12/29/2020
Monday was a day of rotation from small and mid-cap into big tech. AAPL AMZN FB GOOGL were up 2-4% as /RTY dropped about 1%. Overnight Futures are extending the gain from Monday and starting to run into some resistances at Monday’s Top of Range levels
/ES Market Levels
3292-3806 (Top of possible range)
3764-3771 (Target zone on breakout above overnight resistance)
3744-3748 (Overnight resistance)
3715-3723 (Line in sand, Intraday buy-the-dip zone)
3670-3685 (Pullback buy zone)
3641-3652 (Pullback buy zone)
3584-3597 (Last week’s low)
Weakness if any in /ES should be foreshadowed by /RTY weakness. Be wary of buying the dip in /ES if /RTY breaks below 1988-94 support zone
/NQ is testing Monday’s top of range zone in the extended hours. The 12880-898 zone is expected to offer some short term resistance and is a good zone to lock in profits. Major resistance lies above 12952-990 zone for /NQ which should be worth fading this massive run in /NQ
/NQ Market Levels
12952-990 (Target zone on breakout, Top of possible range)
12880-898 (Overnight resistance and possible reversal)
12775-792 (Intraday Line in Sand, Previous Top of Range and intraday buy zone on pullback)
12711-734 (Minor support zone)
12620-644 (Major support zone)