E-mini NASDAQ-100 Index (NQ) Futures Technical Analysis – Facing Challenge at 15505.00 – 15551.50 RT Zone
December E-mini NASDAQ-100 Index futures are edging lower on Friday but still holding on to this week’s marginal gain. Despite moving higher on the weekly chart, the buying looks a little tentative with investors remaining cautious due to a resurgent COVID virus, a Federal Reserve policy meeting next week and a historical tendency for weakness in September.
At 12:09 GMT, December E-mini NASDAQ-100 Index futures are trading 15487.50, down 22.00 or -0.14%.
Daily Swing Chart Technical Analysis
The main trend is up according to the daily swing chart. However, momentum is trending lower. A trade through 15702.25 will signal a resumption of the uptrend. The main trend changes to down on a trade through 14699.00.
The minor trend is down. This is controlling the momentum. A trade through the minor bottoms at 15307.75 and 15248.50 will indicate the selling pressure is getting stronger.
The minor range is 15702.25 to 15307.75. Its retracement zone at 15505.00 to 15551.50 is the primary upside target and resistance area.
The short-term range is 14699.00 to 15702.25. Its retracement zone at 15200.50 to 15082.25 is the primary downside target and potential support area.
Daily Swing Chart Technical Forecast
The direction of the December E-mini NASDAQ-100 Index on Friday is likely to be determined by trader reaction to 15505.00.
A sustained move over 15505.00 will indicate the presence of buyers. This could trigger a quick surge into the short-term Fibonacci level at 15551.50. Look for counter-trend sellers on the first test of this level.
The Fib level at 15551.50 is also a potential trigger point for an acceleration to the upside with 15702.25 the primary upside target.
A sustained move under 15505.00 will signal the presence of sellers. The first downside target is a minor pivot at 15418.00. If this fails then look for the selling to extend into 15307.75.
Taking out 15307.75 will indicate the selling pressure is getting stronger. This could trigger a further break into the minor bottom at 15248.50, followed by a short-term retracement zone at 15200.50 – 15082.25.