E-mini NASDAQ-100 Index (NQ) Futures Technical Analysis – If Prices Stabilize then 7348.50 to 7391.25 Next Upside Target

September E-mini NASDAQ-100 Index futures are trading slightly higher early Wednesday. The index picked up support earlier in the session after Apple’s stronger than expected earnings report, however, talk of additional tariffs on China put a lid on those gains.

Daily Swing Chart Technical Analysis

The main trend is down according to the daily swing chart. A trade through 7166.75 will signal a resumption of the downtrend. This could lead to significant selling pressure since the next major support target doesn’t come in until 6956.00. The main trend will change to up on a move through 7530.00.

The main range is 6956.00 to 7530.00. Its retracement zone at 7243.00 to 7175.25 is currently providing support. This zone is controlling the longer-term direction of the index.

The short-term range is 7530.00 to 7166.75. Its retracement zone at 7348.25 to 7391.25 is the primary upside target. This zone is important because short-sellers are likely to show up on a test of this area in an effort to form a potentially bearish secondary lower top. Buyers are going to try to blast through this zone in an effort to hit a new high and make 7166.75 a new main bottom.

Daily Swing Chart Technical Forecast

Based on the early trade, the direction of the September E-mini NASDAQ-100 Index futures contract is likely to be determined by trader reaction to the 50% level at 7243.00.

A sustained move over 7243.00 will indicate the presence of aggressive counter-trend buyers. Their mission will be to drive the index into at least 7348.50 to 7391.25.

A sustained move under 7243.00 will signal the presence of sellers. This could lead to a plunge into 7175.25 and 7166.75.

All eyes will be on trader reaction to 7166.75 because taking out this level with conviction could trigger the start of an acceleration to the downside with 6956.00 the next major objective.