A few minutes ago the Q's marginally broke below yesterday afternoon's low of 36.97, but thus far there has been no downside follow-through into my preferred micro target zone of 36.85/80. That said, however, my micro technical work argues for more pressure in the upcoming hour(s), just ahead of the FOMC announcement. If that proves to be the case, then we should be able to exit our short position at 36.83. At this juncture, only a rally above 37.21 will neutralize my still negative micro term outlook.

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Mike Paulenoff is a 25-year veteran of the financial markets and author of MPTrader.com, a real-time diary of his E-mini S&P and QQQQ technical analysis and trading alerts. For more of Mike Paulenoff, sign up for a FREE 30-Day Trial to his E-Mini/Index Futures diary, or try his QQQ Trading Diary.