E-mini NASDAQ-100 Index (NQ) Futures Technical Analysis – August 30, 2019 Forecast

September E-mini NASDAQ-100 Index futures are called higher based on the pre-market trade. The rally is being fueled by optimism of U.S.-China trade relations. Traders are also pricing in a 25-basis point rate cut by the U.S. Federal Reserve in September. Yesterday’s announcement of renewed trade talks between the two economic powerhouses has created a “risk-on” scenario. Shares of chipmakers are expected to drive the price action as well as Apple.

At 12:49 GMT, September E-mini NASDAQ-100 Index futures are trading 7753.75, up 42.00 or +0.54%.

Daily Technical Analysis

The main trend is down according to the daily swing chart. However, momentum is trending higher. The main trend will change to up on a trade through 7782.25. A move through 7789.50 will reaffirm the uptrend. A trade through 7353.25 will signal a resumption of the downtrend.

The minor trend is up. This led to the shift in momentum to up. A trade through 7504.25 will change the minor trend to down.

The main range is 6969.00 to 8051.75. Its retracement zone at 7510.25 to 7382.50 is controlling the direction of the index. This zone is major support.

The short-term range is 8051.75 to 7224.50. Its retracement zone is 7638.00 to 7735.75. Crossing to the strong side of this zone will put the index in a bullish position. This zone could become new support.

Daily Technical Forecast

Based on the early price action and the current price at 7753.75, the direction of the September E-mini NASDAQ-100 Index the rest of the session on Friday is likely to be determined by trader reaction to the short-term Fibonacci level at 7735.75.

Bullish Scenario

A sustained move over 7735.75 will put the index in a bullish position. Taking out 7782.25 will change the main trend to up. Overtaking 7789.50 could trigger a rally into a downtrending Gann angle at 7835.75. This is a potential trigger point for an acceleration to the upside with the next target angle coming in at 7943.75.

Bearish Scenario

A sustained move under 7735.75 will signal the presence of sellers. This could trigger a break into the short-term 50% level at 7638.00, followed by a pair of Gann angles at 7619.75 and 7609.25.

The uptrending Gann angle at 7609.25 is a potential trigger point for a potential acceleration into the main 50% level at 7510.25.