NQ Weekly Levels (Mar18-22)

The market closed red for the second week in a row as traders took profits on persistant inflation and fears that the Fed may not cut as soon as expected. Mag 7 stock weakened and ADBE dropped 13% on Friday. The Russel fell by 2% and OIL stengthened. This week the market look ahead to the FOMC rate decision on Wed.

SUMMARY

• NQ closed down 1.31% last week after trading in a wide range of 500 pts.
  
• NQ closed down for the 2nd week in row
  
• R1 = 21 ema (18221)
  
• R2 = 9 ema (18295)
  
• S1 = May 5th Low (18082)
  
• S2 = 2021 High (17957)
  
• Bias remains long but choppiness at ATH increases odds of a near term pull back.
  
• Break below upward trendline would signal potential trend change.
  
• Potential risk-off and inflationary shift as XLP, XLE & XLB are showing near term strength.
  
• Mag 7 are showing weakness. ADBE dropped 13% on Friday
  
• FOMC rate decision on Wed
  
• Inflation remains persistant. XLE up 3.84 % last week.
  
• Growth and small caps still under pressure.
  
• RSI 47.52 | VIX at 14.42 | 10 year 4.31%