E-mini NASDAQ-100 Index (NQ) Futures Technical Analysis – Downside Momentum Could Lead to Test of 14308.50

December E-mini NASDAQ-100 Index futures are trading on their low of the session late Thursday as Wall Street wrapped up its worst month of the year on a sour note.

Tech stocks outperformed most of the session but the NASDAQ still suffered its fifth-straight losing session. Tech names have been hit by the recent jump in the 10-year Treasury yield, which broke above 1.567% earlier in the week.

At 20:45 GMT, December E-mini NASDAQ-100 Index futures are trading 14689.00, down 50.75 or -0.34%.

Shares of Apple and Amazon finished the day in negative territory after moving higher in morning trading. Chip giant Nvidia and Netflix managed to hold on to their gains but closed well off session highs.

Daily Swing Chart Technical Analysis

The main trend is down according to the daily swing chart. The downtrend was reaffirmed when sellers took out the 14699.00 main bottom. A move through 15399.25 will change the main trend to up.

The short-term range is 14437.00 to 15702.25. The index is currently trading on the weak side of its retracement zone at 14920.50 to 15069.75.

The main range is 12915.00 to 15702.25. Its retracement zone at 14308.50 to 13979.75 is the primary downside target.

Daily Swing Chart Technical Forecast

The close on the low suggests a weaker opening on Friday. The early direction of the December E-mini NASDAQ-100 Index on Friday is likely to be determined by trader reaction to 14920.50.

Bearish Scenario

A sustained move under 14920.25 will indicate the presence of sellers. If this move continues to exert enough downside pressure, we could see a sharp break into the next main bottom at 14437.00, followed by the main retracement zone at 14308.50 to 13979.75.

Bullish Scenario

Overtaking and sustaining a move over 14920.50 will signal the presence of buyers. If this move creates enough upside momentum then look for the rally to possibly extend into 15069.75.