E-mini NASDAQ-100 Index (NQ) Futures Technical Analysis – May 17, 2018 Forecast

June E-mini NASDAQ-100 Index futures are set for a slightly lower open as Treasury yields rise. Traders are also reacting to a slew of economic data and new earnings results.

Daily Swing Chart Technical Analysis

The main trend is up according to the daily swing chart. However, we haven’t had a new high on the daily swing in three days so momentum may be getting ready to shift to the downside.

A trade through 7013.50 will signal a resumption of the uptrend. A move through 6854.25 will indicate the selling is getting stronger.

The short-term range is 7013.50 to 6854.25. Its 50% level or pivot is at 6934.00. This price is controlling the intraday direction of the index.

The main range is 7214.50 to 6306.75. Its retracement zone at 6867.75 to 6760.50 is controlling the longer-term direction of the index. The Fib level at 6867.75 has been the key support this week.

The short-term range is 6538.00 to 7013.50. If there is a sell-off then its retracement zone at 6775.75 to 6719.50 will become the primary downside target. Inside this zone is the main 50% level at 6760.50.

Daily Swing Chart Technical Forecast

Based on the early price action, the direction of the index today is likely to be determined by trader reaction to the pivot at 6934.00.

A sustained move under 6934.00 will indicate the presence of sellers. This could trigger a quick break into the main Fib at 6767.75 and this week’s low at 6854.25.

Taking out 6854.25 with conviction could drive the index into the pair of 50% levels at 6775.75 to 6750.50. Since the main trend is up, buyers could step in on a test of this area.

A sustained move over 6934.00 will signal the presence of buyers. This could create the upside momentum needed to challenge the high for the week at 7013.50. This is also the trigger point for an acceleration to the upside.