E-mini NASDAQ-100 Index (NQ) Futures Technical Analysis – August 8, 2018 Forecast

September E-mini NASDAQ-100 Index futures are trading slightly lower shortly after the cash market opening. The market is trading inside yesterday’s range, suggesting investor indecision and impending volatility.

Daily Technical Analysis

The main trend is down according to the daily swing chart. A trade through 7530.00 will change the main trend to up.

The minor trend is up. This is giving momentum an upside bias. A break back under the previous minor top at 7467.00 will be a sign of weakness.

The first support area is a Fibonacci level at 7391.25 and a 50% level at 7348.25.

The short-term range is 7166.75 to 7486.75. Its retracement zone at 7326.75 to 7289.00 is the second downside target.

The major support zone is 7243.00 to 7175.25.

Daily Technical Forecast

Based on the early price action, the direction of the September E-mini NASDAQ-100 Index is likely to be determined by trader reaction to the downtrending Gann angle at 7490.00.

A sustained move over 7490.00 will indicate the presence of buyers. This could lead to a test of a pair of downtrending Gann angles at 7510.00 and 7520.00. The latter is the last potential resistance angle before the 7530.00 main top.

A sustained move under 7490.00 will signal the presence of sellers. The daily chart is wide open to the downside according to the daily chart so if this move creates enough downside momentum, we could see an eventual break into a cluster of levels at 7404.00, 7391.25 and 7390.75.

We could see a technical bounce on the first test of the support cluster, but if 7390.75 fails then look for an acceleration to the downside with 7348.25 the next target.