E-mini NASDAQ-100 Index (NQ) Futures Technical Analysis – February 20, 2019 Forecast

March E-mini NASDAQ-100 Index futures are trading higher shortly after the cash market opening. Volume is slightly below average for this time of day. Uncertainty over the progress of U.S.-China trade talks and cautiousness ahead of the release of the U.S. Federal Reserve Monetary Policy Meeting Minutes at 19:00 GMT are helping to limit movement. Dovish Fed minutes will be bullish for stocks because this will signal looser Fed policy in the future.

At 14:53 GMT, March E-mini NASDAQ-100 Index futures are trading 7093.50, up 25.25 or +0.36%.

Daily Technical Analysis

The main trend is up according to the daily swing chart. A trade through 7095.25 will signal a resumption of the uptrend. The main trend is safe for now, but the market is up seven days from its last main bottom which puts it in the window of time for a closing price reversal top.

The minor trend is also up. A trade through 6972.00 will change the minor trend to down. This will also shift momentum to the downside.

The major support is a Fibonacci level at 7022.25. The main range is 6841.00 to 7095.25. Its retracement zone at 6968.00 to 6938.00 is the next support zone target.

Daily Technical Forecast

Based on the early price action, the direction of the March E-mini NASDAQ-100 Index is likely to be determined by trader reaction to the uptrending Gann angle at 7065.00.

Bullish Scenario

A sustained move over 7065.00 will indicate the presence of buyers. If this creates enough upside momentum then look for a move into 7095.25. Taking out this level will signal a resumption of the uptrend. This is a potential trigger point for an acceleration to the upside with the next major target the December 3 main top at 7169.00.

Bearish Scenario

A sustained move under 7065.00 will signal the presence of sellers. If this move generates enough downside momentum then look for a potential break into the major Fibonacci level at 7022.25. We could see a technical bounce on the first test of this level. If it fails then look for the selling to possibly extend into the 50% level at 6968.00. This is followed closely by an uptrending Gann angle at 6953.00.