E-mini NASDAQ-100 Index (NQ) Futures Technical Analysis – August 28, 2018 Forecast

September E-mini NASDAQ-100 Index futures are trading higher shortly after the opening. The rally is being fueled by increased demand for risky assets after a potential hurdle was cleared on Monday with the announcement that Mexico and the United States had reached an agreement on trade.

Daily Technical Analysis

The main trend is up according to the daily swing chart. There is no upside objective at this time. However, the index is up nine sessions since the last main bottom. This puts it in the window of time for a closing price reversal top. This chart pattern will not indicate a change in trend, but it will signal that the selling is greater than the buying. This could lead to a 2 to 3 day correction.

Daily Technical Forecast

Based on the early price action, the direction of the September E-mini NASDAQ-100 Index the rest of the session is likely to be determined by trader reaction to yesterday’s close at 7568.00.

A sustained move over 7568.00 will indicate the presence of buyers. If this creates enough upside momentum then look for a test of a steep uptrending Gann angle at 7604.50. This isn’t actually resistance, but more of a target.

Crossing to the strong side of the steep angle at 7604.50 will put the index in an extremely bullish position.

A sustained move under 7568.00 will signal the presence of sellers. This will also put the index in a position to form a potentially bearish closing price reversal top. A close under this level will form the chart pattern. If it’s confirmed then look for a minimum 2 to 3 day correction. The nearest downside target today comes in at 7460.50.