Dip Buyers Get Their Test
by Tony Rago
Dip buyers are about to find out what they’re made of. We saw a big roll lower overnight with NQ down roughly 3% and ES off about 1.5%, marking the sharpest test of buyers we’ve seen in quite some time. This is the type of pullback many traders have been waiting for, but wanting a dip and buying a dip are two very different things. The key level for NQ sits at 29,750. If bulls can’t defend that area at the open, the path toward 29,500 could open up quickly. After months of buyers stepping in on weakness, today could provide some important clues about whether that behavior is still intact.
Patience is going to be critical. I have no interest in forcing trades early and plan to let the market open before making any decisions. If buyers show up and reclaim 29,912 and ultimately 30,000, then the bullish case starts to rebuild. Until that happens, rallies are likely opportunities for sellers to lean against resistance. This is one of those sessions where emotions can run high and volatility can create traps in both directions. Stay objective, let price prove itself, and focus on execution over prediction.
👉 Full breakdown is inside today’s Pre-Market Playbook.
Check it out here and trade it smart.
– Tony
