E-mini NASDAQ-100 Index (NQ) Futures Technical Analysis – May 3, 2018 Forecast

June E-mini NASDAQ-100 Index futures are trading lower shortly after the cash market opening. This index is the strongest of the three majors so if it starts to sell off hard, the S&P 500 Index and the Dow are likely to get hit even harder.

Daily Swing Chart Technical Analysis

The main trend is up according to the daily swing chart. A trade through 6578.75 will signal a shift in momentum to the downside.

The trend will change to down on a move through 6429.75. A move through 6772.00 will signal a resumption of the uptrend.

The price action is also being controlled by a series of retracement levels.

On the downside, the targets are a 50% level at 6586.75 and a Fib level at 6520.75.

On the upside, the targets are a 50% level at 6648.25 and a Fib level at 6699.75.

The major resistance and primary upside target is the retracement zone at 6760.75 to 6867.75.

Daily Swing Chart Technical Forecast

Based on the early trade, the direction of the index is likely to be determined by trader reaction to the 50% level at 6648.25.

A sustained move under 6648.25 will indicate the presence of sellers. This could drive the index into 6586.75 then 6578.75.

Look for a spike to the downside if 6578.75 fails as support. This could trigger a break into 6520.75.

The daily chart starts to open up to the downside under 6520.75 with the next targets coming in at 6429.25 then 6306.75.

Taking out and sustaining a move over 6648.25 will signal the presence of buyers. This could lead to a labored rally with potential targets coming in at 6699.75, 6760.75 and 6772.00.