E-mini NASDAQ-100 Index (NQ) Futures Technical Analysis – August 2, 2017 Forecast

September E-mini NASDAQ-100 Index futures are called better shortly before the cash market opening. The index gapped slightly higher during the pre-market session in reaction to blowout earnings from Apple.

Technical Analysis

The main trend is up according to the daily swing chart. However, upside momentum has slowed since the formation of the closing price reversal top on July 27.

A trade through 5995.75 will negate the chart pattern and signal a resumption of the uptrend.

A trade through 5844.75 will confirm the closing price reversal top.

The short-term range is 5995.75 to 5844.75. Its 50% level or pivot is 5920.25. This price is controlling the short-term direction of the index.

The main range is 5560.25 to 5995.75. Its retracement zone is 5778.00 to 5726.50.

Forecast

Based on the current price at 5935.50 and the early price action, the direction of the index today will be determined by trader reaction to the pivot at 5920.25.

Look for an upside bias to develop on a sustained move over 5920.25. If enough buying comes in to sustain the rally, we could see a test of or even take out the main top at 5995.75.

A sustained move under the pivot at 5920.25 will signal the presence of sellers. This could trigger a quick break into the steep uptrending angle at 5880.25.

We could see a technical bounce on the first test of 5880.25. However, if it fails then look for an acceleration into the low at 5844.75. This is a possible trigger point for another acceleration into the major 50% level at 5778.00.