E-mini NASDAQ-100 Index (NQ) Futures Technical Analysis – February 1, 2019 Forecast

March E-mini NASDAQ-100 Index futures are trading lower shortly before the cash market opening. Traders seem to be ignoring the stronger-than-expected headline payrolls number and are instead focusing on the weakness in Amazon stock, a major component of the index.

Amazon reported better-than-expected earnings and revenue for the fourth quarter, however, the company issued weaker-than-expected revenue guidance for the first quarter and warned about increasing investments. These concerns pushed Amazon shares down by 4.3 percent, CNBC reported.

At 14:20 GMT, March NASDAQ-100 Index futures are trading 6875.75, down 39.00 or -0.58%.

Daily Swing Chart Technical Analysis

The main trend is up according to the daily swing chart. A trade through 6943.00 will reaffirm the uptrend. The trend will change to down on a trade through 6592.25.

The minor trend is also up. A trade through 6616.75 will change the minor trend to down. This will also shift momentum to the downside.

The market is currently trading inside a major retracement zone at 6792.75 to 7022.25. This zone is controlling the longer-term direction of the index.

The intermediate retracement zone at 6653.75 to 6494.75 is support.

Daily Swing Chart Technical Forecast

Currently, the March E-mini NASDAQ-100 Index is trading inside yesterday’s range. This indicate investor indecision and impending volatility. The direction of the index today is likely to be determined by trader reaction to 6943.00 and 6839.25.

Bullish Scenario

A sustained move over 6943.00 will indicate the presence of buyers. This could trigger a surge into the major Fibonacci level at 7022.25. This is a potential trigger point for an acceleration to the upside with the main top at 7169.00 the next target.

Bearish Scenario

A sustained move under 6839.25 will signal the presence of sellers. The first target is the major 50% level at 6792.75. This price is a potential trigger point for an acceleration into the intermediate Fibonacci level at 6653.75.