$NQ IdeaOn the monthly chart, NQ maintains its bullish structure, confirming an uptrend. However, in recent weeks, the price has undergone a correction, pulling back to an equilibrium zone before potentially resuming its predominant upward movement. We can see that the price is holding at the Mean Threshold of a monthly rejection block, while also forming an SMT on swing lows with ES and YM on the weekly chart.
Since we trade on an intraday basis, it is essential to analyze multiple timeframes to confirm our bias. On the weekly chart, last week's candle swept the previous week's low and closed below the range. However, given the presence of an SMT at the lows, it is unlikely that the price will target the PWL (Previous Week Low). Instead, a correction toward a discounted area on H4 could occur before the bullish movement begins.
This scenario makes sense because the H4 chart has engineered liquidity in a premium zone, and the price is still trading within that area. Furthermore, last week's shift in market structure confirmed a bullish bias on H4, but before resuming the uptrend, we might see a sell-off to clear liquidity, as the price remains in a premium zone on H4.
Based on the economic calendar, there is a possibility that the weekly low will be formed on Monday, creating an opportunity for a counter-trend trade early in the week. However, this setup carries high risk, requiring caution and confirmation before entry.
For this week, we are looking for bullish opportunities toward equilibrium or until the price encounters resistance to continue rising. However, this outlook will be adjusted as price action unfolds throughout the week.
It is also worth noting that this will be a challenging week, due to a lack of major economic news and an upcoming Federal Reserve speech on interest rates, which could significantly impact the market and increase volatility.
