E-mini NASDAQ-100 Index (NQ) Futures Technical Analysis – Plenty of Room to Upside with 13888.00 Next Target

June E-mini NASDAQ-100 Index futures soared to within striking distance of its all-time high on Monday, boosted initially by robust U.S. jobs growth in March that raised expectations for a swift economic recovery from the devastation caused by the COVID-19 pandemic.

Shortly after the cash market opening, the index surged as the services purchasing manager’s index from the Institute for Supply Management showed faster than expected expansion in March, and the reading of 63.7 was the highest on record.

At 20:00 GMT, June E-mini NASDAQ-100 Index futures are trading 13582.75, up 266.75 or +2.00%.

In other news, NASDAQ Composite component Tesla jumped more than 5% as the electric vehicle company reported production and delivery figures that broadly beat expectations.

Daily Swing Chart Technical Analysis

The main trend is up according to the daily swing chart. The uptrend was reaffirmed early in the session when buyers took out 13332.50. The main trend will change to down on a move through the nearest swing bottom at 12609.75.

The main range is 13888.00 to 12200.00. Its retracement zone at 13243.00 to 13044.00 is controlling the near-term direction of the index. It is also new support.

Short-Term Outlook

The daily chart indicates there is plenty of room to the upside with 13888.00 the next major upside target.

Tuesday will be the seventh day up from the most recent swing bottom at 12609.75 on March 25. This will put the index inside the window of time for a potentially bearish closing price reversal top.

The chart pattern won’t signal a change in trend, but if formed then confirmed, we could see the start of a 2 to 3 day counter-trend correction.