E-mini NASDAQ-100 Index (NQ) Futures Technical Analysis – March 22, 2017 Forecast

June E-mini NASDAQ-100 Index futures are trading lower, but trying to post a closing price reversal bottom. Buyers may be coming in to defend the trend by protecting the main bottom at 5299.25.

Technical Analysis

The main trend is up according to the daily swing chart. However, momentum is trending lower with the formation of another closing price reversal top from a record high on Tuesday. A trade through 5299.25 will turn the main trend to down.

The short-term range is 5299.25 to 5441.00. Its retracement zone is 5353.00 to 5369.75. Holding below this zone will give the index a downside bias. The retracement zone is new resistance.

The main range is 5084.00 to 5441.00. Its retracement zone at 5262.50 to 5220.25 is the primary downside target. An uptrending angle at 5371.25 passes through this zone, making it a valid downside target.

Forecast

Based on the current price at 5332.25, the direction of the index today is likely to be determined by trader reaction to the uptrending angle at 5335.25.

A sustained move over 5335.25 will signal the presence of buyers. This could trigger a rally into a cluster of levels at 5353.00, 5364.00, 5369.75 and 5371.25. Overcoming 5371.25 could trigger a breakout to the upside.

A sustained move under 5335.25 will indicate the presence of sellers. The first target is the main bottom at 5299.25. This is a potential trigger point for an acceleration into the major 50% level at 5262.50.

Simply stated, look for an upside bias to develop over 5335.25 and a downside bias under 5299.25.