E-mini NASDAQ-100 Index (NQ) Futures Technical Analysis – April 11, 2018 Forecast

June E-mini NASDAQ-100 Index futures are trading lower shortly after the cash market opening. The futures contract is working in tandem with the cash market’s NASDAQ Composite Index which is down 36.33 or -0.51%.

Today is expected to be a risk off day and volatility is expected to remain at elevated levels.

Daily Swing Chart Technical Analysis

The main trend is down according to the daily swing chart. Despite today’s early weakness, however, prices appear to be consolidating for a fourth day.

A trade through 6849.25 will change the main trend to up. A move through 6306.75 will signal a resumption of the downtrend.

Also helping to prop up prices is the closing price reversal bottom from April 4 at 6306.75.

The minor trend is up. A trade through 6654.50 will signal a resumption of the minor trend. A move through 6408.50 will change the minor trend to down. This could drive the market into 6306.75.

The short-term range is 6306.75 to 6654.50. Its retracement zone at 6480.50 to 6439.50 is support.

Daily Swing Chart Technical Forecast

Based on the earlier price action, the direction of the index today is likely to be determined by trader reaction to the Fibonacci level at 6583.00.

A sustained move under 6583.00 will signal the presence of sellers. This could trigger an acceleration to the downside with 6480.50 to 6439.50 the next target. This zone is very important because aggressive counter-trend buyers are trying to build a secondary higher bottom on it.

We could see the start of an acceleration to the downside if 6439.50 fails as support.

Overtaking and sustaining a rally over 6583.00 will signal the presence of buyers. This could lead to a labored rally with potential targets 6703.50 then 6760.75.

The trigger point for an acceleration to the upside is 6760.75. Taking out this level with conviction could fuel a surge into 6849.25 then 6867.75.